The federal government’s borrowing from the State Bank of Pakistan (SBP) remained in the negative zone during the first five months of the current fiscal year, reflecting a continued shift away from SBP financing for budgetary needs.
According to data released by the SBP yesterday (Monday), the government repaid Rs877.228 billion to the central bank between July 1 and November 28, 2025, whereas during the same period last year, net borrowing stood at Rs32 billion.
According to Finance Minister’s Adviser Khurram Shehzad, the negative borrowing from the SBP is the result of financial discipline and the strategic early repayment of expensive debt using surplus funds. He said that lower debt servicing during this period will create fiscal space for development, social protection, and growth-oriented priorities. Khurram Shehzad added that this will also help strengthen policy credibility and boost investor confidence in the near future.
