The federal government has unveiled its borrowing strategy for the October-December quarter of FY2025-26 outlining a total borrowing plan of Rs6.5 trillion to support its financial requirements.
The State Bank of Pakistan (SBP) will raise Rs1.25 trillion through Pakistan Investment Bonds (PIBs) across a range of maturities, including two-year, three-year, five-year, 10-year, and 15-year fixed-rate bonds.
The auctions are set for October 14 (Rs450 billion), November 5 (Rs400 billion), and December 17 (Rs400 billion), with settlement occurring one day after each auction. The total maturing amount during the quarter stands at Rs652 billion.
In addition, the SBP plans to raise Rs900 billion through 10-year floating-rate PIBs, which were first issued in July 2025, offering a semi-annual coupon rate of 10.8974%. The first auction for these floating-rate bonds will open on October 1, targeting Rs200 billion, with six more scheduled until December 24.
For immediate liquidity, the government will rely on Rs4.35 trillion in Market Treasury Bills (MTBs) across various maturities. The first MTB auction, which is set for October 1, will target Rs750 billion.
The total maturing amount of MTBs during this period stands at Rs4.605 trillion, and provincial governments are expected to invest Rs600 billion in select auctions.
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