Punjab has recorded a massive drop in external debt during the first half of the current fiscal year, while all other provinces have registered an increase, official data from the Ministry of Finance has shown.
According to said data, Punjab’s external debt decreased by $31 million during July-December 2025. The province, however, remained the largest holder of external debt among all provinces in terms of overall volume.
During the same period, Sindh recorded the highest increase, with external debt rising by $494 million. Khyber Pakhtunkhwa’s (KP) external debt also increased by $93 million, while Balochistan’s debt rose by $4 million.
In contrast, Azad Kashmir recorded a decrease of $4 million in external debt while Gilgit-Baltistan saw a reduction of $1 million during the same period.
The data also indicated uneven borrowing trends across provinces, with Sindh showing the sharpest rise while Punjab reported a marginal decline.
