KARACHI: The government’s external debt and liabilities jumped by $5 billion in the fourth quarter of FY26 to $90.86bn, according to data released by the State Bank.

The country’s gross external debt and liabilities reached $138.85bn at the end of the last quarter of FY26 (June 30, 2026) with an addition of $3.62bn during the year.

The gross debt and liabilities were $135.22bn at the end of the first quarter, which ended on Sept 30, 2025. During the second and third quarter the figure stood at $137bn.

The debt and liabilities showed a sudden jump during the fourth quarter, shooting up by $4.98bn. At the end of the third quarter, the figure was $85.88bn, while it was $85.54bn at the end of the second.

The government’s long-term external debt and liabilities fell to $74.27bn during the third quarter of FY26, but it rose to $81.03bn at the end of the fourth quarter. The first and second quarters of the same year saw debt and liabilities at $85.1bn and $85.5bn, respectively.

The government has been accumulating foreign debt through multilateral and friendly countries and it has re-entered the international financial market by launching bonds.

It has also successfully entered the Chinese market for the first time and launched Panda Bonds.

Published in Dawn, August 13th, 2026