Pakistan has achieved a historic milestone by repaying more than Rs4.722 trillion (around 17 billion US dollars) in debt ahead of schedule for the first time in the country’s history, reflecting what the government says is the success of its economic management and fiscal discipline.
According to Adviser to the Finance Minister *Khurram Shehzad, Pakistan has so far repaid *Rs2.9 trillion ahead of schedule during fiscal year 2025-26, marking a 62 per cent increase compared with the previous fiscal year.
He said 51 per cent of the early repayments were made to the State Bank of Pakistan, while the remaining 49 per cent went to other financial institutions.
Khurram Shehzad added that Pakistan’s debt-to-GDP ratio has declined from 75 per cent to approximately 68.5 per cent, attributing the improvement to prudent debt management and effective fiscal policies.
He said the government’s strategy has strengthened investor confidence, reinforced financial stability, and placed Pakistan on a path towards a more sustainable and lower-cost debt management system.
