ISLAMABAD, OCT 7 /DNA/ – The Government of Pakistan announced today a major fiscal milestone, with the total central government debt registering a substantial decline of Rs. 765 billion as of August 2025. This reduction marks significant progress both in absolute terms and as a percentage of Gross Domestic Product (GDP), signaling a strengthening of the nation’s economic fundamentals.

This notable achievement is a direct result of the government’s unwavering commitment to fiscal discipline. The strategy has been underpinned by a multi-pronged approach focusing on controlled public expenditures, carefully calibrated borrowing strategies, and prudent debt management practices.

“The reduction in public debt is a clear indicator of our successful economic reforms and commitment to fiscal consolidation,” stated a senior official from the Ministry of Finance. “This disciplined approach is not just about reducing numbers; it’s about building a stable and resilient economy for the future of Pakistan.”

The decline in public debt underscores significant progress toward achieving broader macroeconomic stability. It reinforces confidence in the government’s economic stewardship and demonstrates a clear path toward restoring long-term debt sustainability. This positive development is a crucial step in rebuilding investor trust, both domestically and internationally, and lays a stronger foundation for sustainable economic growth.