KARACHI: The government aims to borrow Rs6.8 trillion from banks through Treasury bills and bonds between May and July 2026, the auction calendar from the State Bank of Pakistan showed on Friday.
The government plans to raise Rs5.45 trillion through its short-term securities known as Market Treasury Bills (T-bills) with maturities of one, three, six, and twelve months. Additionally, it is set to auction fixed- and floating-rate Pakistan Investment Bonds (PIBs) with maturities of two, three, five, ten, and fifteen years to borrow Rs1.35 trillion from commercial banks.
Analysts have noted that the auction targets for May-July T-bills and PIBs align closely with the previous (April-June) target of Rs6.15 trillion, reflecting a cautious and disciplined borrowing approach by the government to address its fiscal requirements despite a revenue collection shortfall.
The Federal Board of Revenue (FBR) missed its collection target by Rs684 billion during the first 10 months of fiscal year 2026 due to the disruptions linked to the conflict in the Middle East. Total collection increased 10 percent to Rs10.262 trillion in July-April FY26. The FBR had set a target of Rs10.946 trillion for 10 months of this fiscal year.
The SBP raised its key interest rate by 100 basis points to 11.5 per cent last month, its first rate hike in almost three years, to tackle the inflationary impact of the Middle East conflict.
