Posts

Showing posts from July, 2025

What is Pakistan’s Federal Budget for 2025-2026?

Image
To run the federal government for the year 2025-2026, a budgeted (expense) amount of $ 62B * would be required. This is almost similar to last year** . How will the money be spent? Almost half of the expense is paying off the interest on past loans. Of these interest payments, the vast majority, i.e. 88%, are used to servicing local debt such as the ones taken to meet the deficit through certificates, bonds and other similar financial tools. External loans interest pay-offs are adjusted with the release of new loans. More in detail on that in revenue & deficit-funding.  Ninety-four percent of the budget money is spent on expenditures listed below:  Category USD (billions) As %age of total expenses Interest Payments 29 47% General Public Service 10 17% Defence Affairs and Services 9 15% Pension 4 6% Federal PSDP 4 6% Social Protection 3 4% The reminder $ 3.7B (6%) is spent in Public Order and Safety Affairs (2%), Net (provincial) lending (1.6%), Economic affairs (1.4%), Ed...