SBP Governor’s Annual Report Highlights Economic Stability, Flags Global and Domestic Risks
The SBP Governor’s Annual Report 2024–25 highlights improved economic stability, lower inflation, and a current account surplus for the first time in 14 years. It warns of global trade shifts, geopolitical tensions, and domestic risks, emphasizing the need for structural reforms and vigilant policymaking.
Debt Burden, Weak Productivity and Climate Risks Weigh Heavily on Pakistan’s Economic Outlook
The State Bank of Pakistan’s latest report highlights how debt, low savings, weak productivity, and climate shocks are undermining economic stability. With a fragile growth outlook, the central bank urges structural reforms, financial inclusion, and human capital development to sustain long-term economic resilience.
Pakistan’s Economy Stabilizes as Growth Rebounds to 3%: SBP
Pakistan’s economy regained stability in FY25 as inflation fell to an eight-year low, external accounts improved, and growth rebounded to 3%. SBP projects further growth in FY26 but warns of climate risks and emphasizes structural reforms to sustain economic momentum.
SBP Projects 3.25% GDP Growth for FY26 Amid Inflation and Structural Challenges
The SBP projects Pakistan’s GDP growth at 3.25% for FY26 while warning of inflation above 7% in H2. The report highlights structural weaknesses, fiscal and external pressures, and the need for reforms to sustain macroeconomic stability and private investment.
IMF forecasts Pakistan’s net government debt to rise to 65.7% of GDP by 2026
The IMF’s latest Fiscal Monitor report projects Pakistan’s net government debt to increase to 65.7% of GDP by 2026, alongside a modest improvement in fiscal balance and revenue performance.
Pakistan’s Domestic Debt Surges to Rs54 Trillion in August Amid Fiscal Pressures
Pakistan’s total government domestic debt and liabilities surged to Rs54.28 trillion in August 2025, reflecting an 11.57% year-on-year increase, according to new data from the State Bank of Pakistan (SBP). While long-term borrowing expanded sharply, short-term obligations declined, highlighting the government’s strategy to manage debt maturity risks amid tightening fiscal conditions.
Pakistan’s Central Government Debt Rises to Rs77 Trillion in August Despite Monthly Decline
Pakistan’s central government debt reached Rs77.46 trillion in August 2025, marking a 10% annual increase driven by heavy domestic and external borrowing to cover the fiscal deficit, despite showing a slight month-on-month decline.
Pakistan’s Public Debt Surpasses Rs. 76 Trillion, Driven by Surge in Domestic Borrowing
Pakistan’s central government debt has surged over Rs. 76 trillion, reflecting a 12.3% annual rise driven by mounting domestic borrowing, according to the State Bank’s latest data.