The government of Pakistan borrowed a total of Rs1.514 trillion during the first quarter of the current fiscal year 2026-27, covering July to September, including Rs1.037 trillion in September alone, according to documents from the Ministry of Economic Affairs.
The documents show that government borrowing in September 2026 was approximately Rs913 billion higher than in the same month last year.
Government Raises $3 Billion Through Bonds
According to the documents, the government issued bonds worth $3 billion in September to raise funds. Of this amount, $1.75 billion carries an interest rate of 7.5 per cent, while the remaining $1.25 billion carries a rate of 7.9 per cent. Both bonds are scheduled to mature in 2036.
The Ministry of Economic Affairs said the proceeds could be used to support the federal budget, with the Ministry of Finance serving as the executing agency.
The $3 billion issuance is equivalent to approximately Rs818 billion in local currency, according to the documents.
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In addition to the bond issuance, the government borrowed Rs17 billion through non-project financing, which includes budget support and short-term loans.
Foreign Loans and Grants Increase
The documents further revealed that Pakistan received a total of $5.44 billion in foreign loans and grants between July and September.
This was $3.63 billion more than the $1.81 billion received during the corresponding period of the previous fiscal year.
During the first quarter, the government also secured a medium-term loan facility worth $300 million from an international commercial bank.
Naya Pakistan Certificates Attract $942.7 Million
According to the Economic Affairs Division, funds raised through Naya Pakistan Certificates increased significantly during the first quarter of FY2026-27.
Certificates worth $942.7 million were issued during the July–September period, adding to the funds raised through other borrowing channels.
The figures reflect the government’s borrowing and external financing during the opening quarter of the fiscal year, including funds raised through international bonds, commercial lending and Naya Pakistan Certificates.
