Govt unveils Rs32tr borrowing plan

The government announced on Tuesday that it will need Rs32 trillion in loans this fiscal year, including rollovers from foreign banks and bilateral lenders. The success of this plan hinges on the timely approval of the International Monetary Fund (IMF) programme and the continued financial support from China. The Ministry of Finance released its annual borrowing plan for fiscal year 2024-25, revealing that Pakistan is once again relying heavily on rolling over maturing debts—a strategy that has deepened the nation’s debt burden. According to the ministry, Pakistan will require Rs8.5 trillion to finance its budget deficit and an additional Rs23.4 trillion to repay maturing debt. The annual borrowing plan outlines the government's strategy to meet its Gross Financing Needs (GFN), which include both the fiscal deficit and debt maturities. The Debt Management Office prepared the annual borrowing plan.