Pakistan External Debt Servicing Surges to $10.14 Billion in Q4FY26
Pakistan’s external debt servicing surged to $10.14 billion in Q4FY26 from $3.86 billion in Q3, driven by higher principal repayments, according to State Bank of Pakistan data.
Federal Government Cuts Interest Rate on Provincial and Public Sector Development Loans
Ministry of Finance reduces mark-up on development loans and advances to provinces and state-owned entities to 11.89 percent for fiscal year 2026.
Revenue Challenges in Pakistan Highlight Capacity Gaps Beyond NFC Allocations
Pakistan’s growing debt and revenue challenges are rooted in limited provincial tax generation, public sector inefficiencies, and underutilized resources, rather than the current NFC award formula.