Senate Receives Detailed Report on Pakistan’s Debt, Interest Payments and Trade Deficit

Islamabad: In a Senate session, the Ministry of Finance Pakistan submitted a detailed report on Pakistan’s debt and interest obligations for the fiscal year 2025.

According to the ministry, Pakistan’s total debt in FY 2025 stood at PKR 80.5 trillion, comprising PKR 54.5 trillion in domestic debt and PKR 26 trillion in external debt. Debt repayments over recent years were as follows: PKR 16.5 trillion in FY 2021, PKR 23.2 trillion in FY 2022, PKR 30.2 trillion in FY 2023, PKR 28 trillion in FY 2024, and PKR 27.1 trillion in FY 2025.

Interest payments have also been rising steadily. The ministry reported that PKR 2.7 trillion was paid in FY 2021, PKR 3.2 trillion in FY 2022, PKR 5.7 trillion in FY 2023, PKR 8.2 trillion in FY 2024, and PKR 8.9 trillion in FY 2025.

The Ministry of Commerce Pakistan also presented trade data for FY 2022-23 and FY 2023-24. Exports in FY 2022-23 totaled USD 27.7 billion, while imports reached USD 55.2 billion, resulting in a trade deficit of USD 27.5 billion. In FY 2023-24, exports increased to USD 30.6 billion, imports were USD 55.7 billion, and the trade deficit narrowed slightly to USD 25.1 billion. In FY 2024-25, exports reached USD 32 billion, imports USD 58.3 billion, with a trade deficit of USD 26.3 billion.

For the period July–December 2025, exports were USD 15.135 billion and imports USD 34.475 billion, compared to exports of USD 16.631 billion and imports of USD 30.902 billion in the same period of 2024. This reflects a 9 percent decline in exports and a 12 percent increase in imports. The trade deficit for July–December 2025 stood at USD 19.34 billion, a 36 percent rise from USD 14.271 billion in the same period of 2024.

The report highlights the continuing challenges Pakistan faces in managing debt obligations, interest payments, and trade deficits amid a fluctuating economic environment.