Islamabad: (RightNow). Pakistan has repaid a loan of 4,722 billion rupees ahead of schedule for the first time in its history. The Ministry of Finance has reported that this repayment was made before the due date.

In the fiscal year 2025-26, 2.9 trillion rupees of debt was retired, which is 62% more than the previous fiscal year. This debt included 51% from the State Bank and 49% from market loans.

According to the Ministry of Finance, this move has reduced refinancing and rollover risks. Timely debt repayment will decrease interest expenses and lessen the burden on the national treasury.

Government measures have improved liquidity and cash flow management, restoring investor confidence. The average debt maturity has increased from 2.7 years to 3.8 years.

It is noteworthy that the debt-to-GDP ratio has decreased from 75% to 68.5%. Pakistan is transitioning from short-term borrowing to long-term financial stability.