KARACHI: To address the growing need for liquidity, the government plans to borrow Rs3.5 trillion over the course of the next three months.
According to the State Bank schedule, Treasury bills will be used by the government to raise Rs3.475 trillion between September 4 and November 27. This sum, however, is smaller than the Rs4.594tr maturing amount over the same time frame.
The economy has been severely stretched over the last few years due to the government’s large borrowing from the banking industry, to the point that all tax revenue is currently being used to pay off debt.
In FY24, the interest rate was a record 22%, while the government borrowed a record Rs8.4 trillion during that year.
