Federal govt’s arrears rise 15.6 percent to Rs 10.68 billion in FY 2025/26

Summary

Federal government arrears rose 15.6 percent to Rs 10.68 billion in FY 2025/26, with the largest irregularities tied to capital expenditure. The Financial Comptroller General Office said damage from the Gen-Z movement, procedural lapses and weak spending oversight contributed to the increase.

Key Points
  • Federal government arrears increased by Rs 1.44 billion to Rs 10.68 billion in FY 2025/26, up 15.6 percent from the previous year.
  • The Financial Comptroller General Office said capital expenditure accounted for the largest share of irregularities, with Rs 5.78 billion in arrears.
  • The office linked part of the rise to damage from the Gen-Z movement, as well as routine errors and negligence by government employees.
  • Among ministries, Physical Infrastructure and Transport recorded the highest arrears at Rs 4.19 billion, followed by Energy, Water Resources and Irrigation at Rs 3.23 billion.
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