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ISLAMABAD: The government has closed the first quarter of the current fiscal year (July-Sept 2023-24) with a budget deficit of 0.9 percent of the GDP or Rs962.801 billion, according to the Finance Ministry.

According to consolidated data of fiscal operation uploaded by the Finance Ministry on Wednesday, for the first quarter of the current fiscal year showed total expenditure of Rs3.648 trillion against the total revenue of Rs2.685 trillion.

Punjab and KP provinces’ budgets were in deficit by Rs28.550 billion and Rs10.314 billion, respectively. However, a budget surplus of Rs19.099 billion by Sindh and Rs71.168 billion by Balochistan helped create a provincial surplus of Rs51.503 billion.

Pakistan’s GDP projected to recover to 1.7% in FY24: World Bank

According to fiscal operation data, the current expenditure stood at Rs3.172 trillion which included mark-up payments Rs1.379 trillion, defence expenditure Rs343.068 billion, pension Rs203.303 billion, running of civil government Rs131.917 billion, subsidies Rs2.488 billion and grants to others Rs177.303 billion. Development expenditure and net lending stood at Rs282.387 billion. Federal PSDP was Rs40.925 billion and provincial Rs245.53 billion while statistical discrepancy was at Rs193.563 billion.

The overall budget deficit was recorded at Rs962.801 billion or 0.9 percent. The financing of the budget deficit was met through net external borrowing of Rs425.170 billion and domestic (net) borrowing of Rs537.631 billion. The primary balance was recorded at Rs416.811 billion (0.4 percent).

Tax revenue was recorded at Rs2.216 trillion with the Federal Board of Revenue taxes stood at Rs2.041 trillion with direct taxes of Rs934.789 billion and indirect taxes of Rs1.106 trillion which included taxes on international trade (Customs) Rs252.220 billion, sales tax Rs726.944 billion, and federal excise Rs127.594 billion. Provincial tax collection was Rs175.391 billion.

Total non-tax revenue collection was Rs468.815 billion with federal non-tax revenue of Rs452.069 billion which included mark-up (provinces) Rs18.142 billion, mark-up (PSEs and others) Rs66.762 billion, dividend Rs33.816 billion, profit PTA and others Rs3.581 billion, defence receipts Rs6.6 billion, passport fee Rs14.541 billion, discount retained on crude oil Rs6.317 billion, royalties on oil/ gas Rs41.652 billion, windfall levy against crude oil Rs5.710 billion, petroleum levy on LPG Rs870 million, gas infrastructure development cess Rs378 million, petroleum levy Rs222.067 billion, and others Rs32.633 billion, and provincial Rs33.888 billion.

Copyright Business Recorder, 2023

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