What happens when government borrows less?
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Date
2026-05-27
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New Vision
Abstract
Pension Funds, banks and other financial institutions have fattened by high-yielding government bond through parking the bulk of their assets in government securities and collecting yields of around 17%. For instance, in 2025, commercial bank interest income from government bonds grew by more than 20%, whereas interest from loans and advances to customers grew by 9% .
But what happens when the Government no longer needs their money?
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Newspaper Article
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Citation
Twaha, A. (2026). What happens when government borrows less?. New Vision.