Pakistan’s external debt and liabilities have climbed to $92.2 billion as of August 31, 2025, an official from the Ministry of Finance’s Debt Management Office informed the Senate Standing Committee on Economic Affairs on Monday.
According to a news report, he committee, presided over by Senator Saifullah Abro, was told that medium- and long-term loans make up $89.1 billion of the total external portfolio. Multilateral loans account for $42.58 billion, while bilateral debt stands at $21.82 billion.
During the session, the committee also reviewed Pakistan’s borrowing history with the International Monetary Fund (IMF) up to September 2025. Senator Abro remarked that borrowing had become a recurring pattern rather than an economic necessity, stressing that loan utilisation must promote self-reliance instead of perpetuating debt cycles.
The Senate panel directed the Ministry of Finance and the State Bank of Pakistan to submit a detailed breakdown of loans obtained since 2008, including disbursements, repayments, and interest payments. It also sought clarification on the allocation and use of Rs90 billion under special funds in the 2022–23 federal budget.
Examining foreign-funded infrastructure projects, the committee raised concerns about transparency in the Asian Development Bank (ADB)-financed CAREC Tranche I–III projects, covering the Rajanpur–Dera Ghazi Khan–Dera Ismail Khan corridor.
The chairman noted alleged irregularities in procurement and documentation, calling the case “one of the most significant procurement controversies in recent years.”
The panel said the mis-procurement dispute—valued at Rs172 billion—required immediate action. It directed that all correspondence between the ADB, National Highway Authority (NHA), and Prime Minister’s Office be submitted to the committee. The NHA assured that clarifications would be obtained and shared with the ADB soon.
Senator Abro emphasized that the project’s land acquisition and cost escalation issues must be resolved to meet the June 2026 completion deadline. The committee will continue monitoring progress until full compliance is achieved.
The meeting also reviewed the implementation of the e-Pak Acquisition and Disposal System (EPADS) by the Public Procurement Regulatory Authority (PPRA). The chairman expressed concern over Sindh’s refusal to adopt the system in key departments and recommended referring the matter to the FIA for investigation, citing Rs30 billion in pending tenders.
In addition, the committee discussed discrepancies in the World Bank-funded Sindh Solar Energy Project (SSEP), where data verification revealed duplicate and incomplete entries for over 200,000 household beneficiaries. The department was ordered to submit verified lists within ten days and clarify the addition of 400,000 new beneficiaries.
The committee further noted inconsistencies in the Sindh Road Sector Projects, where actual roadwork extended to 724 kilometres against an approved 400 kilometres.
The chairman demanded complete bidding records, turnover histories, and the presence of Economic Affairs Division (EAD) representatives in future bidding rounds to ensure transparency.
