Islamabad (Commerce Desk): Pakistan has achieved a major financial milestone by repaying more than Rs4.722 trillion in debt ahead of schedule for the first time in the country’s history.
According to Finance Adviser Khurram Shahzad, Pakistan has so far repaid approximately $17 billion worth of debt ahead of maturity, while during the fiscal year 2026, debt amounting to Rs2,900 billion has already been paid before the due date.
He said that early debt repayments during fiscal year 2026 were 62 percent higher compared with fiscal year 2025. Of the repaid debt, 51 percent consisted of borrowings from the State Bank, while 49 percent comprised loans from other financial institutions.
According to Khurram Shahzad, due to improved financial strategies, Pakistan’s debt-to-GDP ratio has declined from 75 percent to approximately 68.5 percent.
He said that effective debt management has restored investor confidence and improved the country’s financial stability. Through better debt governance, Pakistan is moving toward a stronger, sustainable, and lower-cost financial system.