ISLAMABAD: Automobile financing in Pakistan increased to Rs285.64 billion in July 2025, up 3.27% from Rs276.61 billion in June, according to the State Bank of Pakistan (SBP). On a year-on-year basis, car financing rose 25.28% compared to Rs228 billion in July 2024.
The increase follows a period of high interest rates, rising car prices, regulatory restrictions on auto loans, and higher import duties on vehicles and spare parts.
Consumer financing for house building reached Rs208.48 billion in July, rising 2.8% year-on-year and 0.69% month-on-month from Rs207.04 billion in June. Personal loans also increased, reaching Rs263.27 billion, up 10.18% year-on-year and 0.21% month-on-month.
Overall, credit disbursed to consumers grew 15.83% year-on-year to Rs928.94 billion, compared to Rs913.54 billion in June, marking a 1.69% sequential increase.
Private sector lending rose 14.38% year-on-year to Rs9.48 trillion, though it declined 1.94% month-on-month from Rs9.67 trillion. Within the sector, manufacturing loans totalled Rs5.19 trillion, up 10.96% year-on-year but down 2.99% month-on-month.
Construction sector borrowing reached Rs216.13 billion, up 14.1% year-on-year and 2.75% month-on-month. Loans to agriculture, forestry, and fishing expanded to Rs512.51 billion, a 29.52% increase compared to July 2024 and a 3.59% rise from June 2025.
The data highlights ongoing growth in consumer and sectoral lending, with automobile, housing, and agricultural finance contributing significantly to overall credit expansion.
