Pakistan's debt hits Rs82 trillion: Where is the money going?

Pakistan's federal government debt has reached a record Rs82 trillion, with the country adding Rs5.9 trillion in new borrowing in just one year. That works out to an average of Rs16 billion in new debt every day.

In today's episode of On My Radar with Kamran Khan, Senior Journalist Shahbaz Rana joins us to examine what is driving Pakistan's rising debt burden, why domestic borrowing has become a bigger challenge than foreign loans, and what this means for businesses, investors, taxpayers, and the broader economy.

We also discuss the concerns raised by the Auditor General, the absence of a permanent Director General at Pakistan's Debt Management Office, and why weak debt management could pose long-term fiscal risks despite recent signs of macroeconomic stability.

Here's what we take a look at tonight:

• Why Pakistan's federal debt has reached Rs82 trillion

• How the government borrowed Rs5.9 trillion in FY26

• What Rs16 billion in daily borrowing means for the economy

• Why debt is growing faster than inflation

• Why domestic borrowing has become a bigger concern than foreign loans

• Why the Debt Management Office is operating without a permanent Director General

• The Auditor General's concerns over debt oversight and accountability

• Why more than Rs8 trillion has been allocated for interest payments

• The impact of rising debt on businesses, investment, interest rates, inflation, and economic growth

As Pakistan works to stabilize its economy, the country's rising debt burden remains one of its biggest long-term challenges. This discussion explores what the numbers really mean, the risks ahead, and what policymakers need to do to put public finances on a more sustainable path.