Pakistan External Debt Remains Stable since 2022, according to State Bank of Pakistan Governor Jameel Ahmad, who said the country’s external debt has remained broadly unchanged over the past four years while foreign exchange reserves, remittances, and economic indicators have shown steady improvement.
Speaking at a press conference at the State Bank headquarters, the governor highlighted several positive economic developments, including rising overseas remittances, stronger foreign exchange reserves, and expectations of improved international credit ratings.
He said Pakistan’s economic outlook has strengthened despite meeting billions of dollars in external payment obligations during the current fiscal year.
💰 State Bank Highlights Stable External Debt
Governor Jameel Ahmad stated that Pakistan’s external debt has remained close to 100 billion US dollars since 2022.
According to him, the country has avoided further growth in external borrowing while continuing to meet its international financial commitments.
He explained that between 2015 and 2022, Pakistan’s external debt increased by an average of around six billion dollars annually before stabilizing in recent years.
Officials believe maintaining stable debt levels reflects improved macroeconomic management and greater fiscal discipline.
💵 Foreign Exchange Reserves Continue to Improve
The governor said Pakistan’s foreign exchange reserves have now exceeded 18 billion US dollars, despite external repayments exceeding 5 billion dollars during the current fiscal year.
He rejected the perception that reserve growth resulted solely from new borrowing.
Instead, he explained that Pakistan increased its reserves while simultaneously repaying a significant amount of external debt.
According to the State Bank, stronger reserves provide greater economic stability and improve the country’s ability to manage external financial obligations.
🌍 Overseas Remittances Expected to Reach Record Level
The State Bank expects overseas Pakistanis to send approximately 44 billion US dollars in remittances during fiscal year 2027.
During fiscal year 2026, remittances reached nearly 41.5 billion dollars, reflecting continued confidence among overseas Pakistanis.
The governor described remittances as a vital source of foreign exchange that continues supporting Pakistan’s economy.
He added that the central bank is introducing additional initiatives to simplify international money transfers without increasing costs for overseas Pakistanis.
📈 Current Account and Economic Outlook
Jameel Ahmad said Pakistan’s current account remained in surplus during the first eleven months of fiscal year 2026.
Final data for the twelfth month is still being compiled, but the State Bank expects the current account balance to remain between zero and one percent.
He also expressed confidence that exports would continue improving in the coming fiscal year, helping strengthen Pakistan’s external sector over the longer term.
Economists believe sustained export growth will gradually reduce dependence on overseas remittances.
🏦 Roshan Digital Account Shows Growth
The governor also highlighted improvements in the Roshan Digital Account initiative.
According to him, average monthly inflows through the platform have increased from around 200 million dollars to more than 300 million dollars over the past three months.
The increase reflects growing participation by overseas Pakistanis using digital banking services to invest and transfer funds.
Officials expect continued improvements as banking services become more accessible and efficient.
📊 Credit Rating Expected to Improve
Governor Jameel Ahmad expressed optimism that Pakistan’s international credit rating could improve further due to stronger economic indicators.
He pointed to higher foreign exchange reserves, stable external debt, and improved financial management as positive signals for international investors and rating agencies.
The State Bank believes continued economic reforms and disciplined fiscal policies will strengthen investor confidence while supporting long-term economic stability.
Officials also expect improvements in exports, remittances, and external balances to contribute positively to Pakistan’s economic outlook during the coming fiscal year.