Debt Rose During Both Terms
Pakistan’s federal government debt increased substantially during Shehbaz Sharif’s two periods as prime minister. According to State Bank of Pakistan data reported on September 21, 2026, the federal government’s debt increased by Rs37.307 trillion across the two periods combined. The reported figures cover his first term from April 2022 to July 2023 and his current term from March 2024 to July 2026.
Increase During the First Term
Shehbaz Sharif first became prime minister in April 2022 and remained in office until August 2023, when the caretaker government took over. The latest report, using SBP figures, puts the increase in federal government debt from April 2022 to July 2023 at Rs18.764 trillion. During this period, federal government debt rose from about Rs43 trillion in March 2022 to Rs61.777 trillion by July 2023.
What Happened During the Second Term
Shehbaz Sharif returned as prime minister in March 2024. According to the same SBP-based report, federal government debt increased by another Rs18.543 trillion between March 2024 and July 2026. By July 2026, the reported debt stock had reached approximately Rs83.883 trillion.
Public Debt Figures Show the Broader Picture
It is important to distinguish federal government debt from Pakistan’s total public debt. The Ministry of Finance reported total public debt at Rs62.881 trillion in June 2023, rising to Rs71.246 trillion in June 2024 and Rs80.518 trillion by June 2025. By December 2025, total public debt had reached Rs81.374 trillion.
Why Did Debt Increase?
Debt figures do not by themselves show why the stock increased during a particular government. The Ministry of Finance identifies factors including fiscal deficits, interest payments, exchange rate movements, cash balances, and other accounting effects. For FY2025, it reported that interest expense was Rs8.9 trillion, while the federal government recorded a primary surplus of Rs1.8 trillion.
Putting the Numbers in Context
The figures show a significant increase in federal government debt across both of Shehbaz Sharif’s terms. However, the change in debt should not automatically be treated as borrowing for new spending alone, because debt stocks are also affected by interest costs, currency movements, and other factors. The most recent figures therefore provide a measure of how the debt stock changed, while understanding its causes requires looking at the wider fiscal and economic data.
