ISLAMABAD: According to the Debt Management Office of the Ministry of Finance, Pakistan’s external debt and liabilities have reached US$92.2 billion as of August 31, 2025.
According to the National Assembly Standing Committee on Economic Affairs, the Debt Management Office informed that the share of medium and long-term loans in Pakistan’s total external debt is $ 89.1 billion. Of this, $ 42.58 billion has been taken from international institutions (such as the World Bank and, Asian Development Bank), while the value of bilateral loans (loans taken directly from countries) is $ 21.82 billion.
A detailed review of Pakistan’s International Monetary Fund (IMF) programs was also presented in the meeting. The committee demanded that the Ministry of Finance and the State Bank provide complete details of loans received from the IMF since 2008, their utilization, repayment, and interest, to ensure transparency. According to details, Pakistan has received financial assistance from the IMF under several programs, most of which were taken to cover the country’s fiscal deficit and stabilize foreign exchange reserves. However, according to experts, these loans provide temporary support but are not enough to make the economy self-sufficient permanently. Chairman of the Standing Committee Senator Saifullah Abro expressed concern that borrowing is becoming the norm in the country, while obtaining more loans by mortgaging the projects financed by these loans is a dangerous trend. He said that the purpose of loans should be self-reliance and not a cycle that keeps the country in debt.
It was also revealed that the full details of the sources and use of the Rs90 billion allocated under “special funds” in the budget 2022-23 have not yet been clarified. The Senate committee has also demanded clarification on this. Experts say that the government must bring complete transparency to the system of loan utilization, repayment, and interest payment so that not only public confidence is restored, but also international financial institutions recognize Pakistan’s seriousness.
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