A granular breakdown of Pakistan's domestic and external debt components, explaining the role of T-bills, PIBs, Chinese bilateral rollovers, and Paris Club dynamics.
Educational content only — not personalized financial, legal, or tax advice.
Pakistan's total public debt exceeds 75% of GDP. Debt servicing absorbs 50-60% of total federal tax revenues.
Heavily concentrated in short-term T-Bills (3, 6, 12-month) and floating-rate Pakistan Investment Bonds (PIBs). High rollover risk: government must auction trillions of rupees weekly.
Total ~$124B. Multilaterals (IMF/WB/ADB) at ~38% — senior and cannot be restructured. Bilateral (China, Saudi, UAE) at ~35% — managed via 12-month rollovers, not amortization. Commercial (Eurobonds) at ~15% — high cost, high risk.
Net federal revenues (after NFC Award provincial transfers) are often insufficient to cover interest payments alone — the government borrows to pay interest, compounding the debt stock. See The IMF-Pakistan Relationship: and Pakistan Financial Architecture.