ISLAMABAD: Pakistan’s budget deficit was recorded at Rs1.5 trillion (1.2 percent of the GDP) in the first half (July to December) of the current fiscal year 2024-25.
The country’s total revenue stood at Rs9.8 trillion (7.9 percent of the GDP) against the total expenditure of Rs11.3 trillion (9.1 percent of the GDP) during the first half of the current fiscal year. Therefore, the country’s budget deficit has been recorded at Rs1.5 trillion (1.2 percent of the GDP), according to consolidated federal and provincial fiscal operations released by the Finance Ministry. The primary balance posted a surplus of Rs3.6 trillion (2.9 percent of GDP).
For the current fiscal year 2024-25, the government has projected a budget deficit at Rs7.3 trillion or 5.9 percent of the GDP. Primary budget would be in surplus of 2 percent of the GDP or Rs2.5 trillion in the upcoming fiscal year.
FY24 ends with a budget deficit of 6.8pc of GDP
Total revenue of Rs9.8 trillion included Federal Board of Revenue (FBR)’s tax collection of Rs5.6 trillion and Rs3.7 trillion as non-tax collection during July to December period of the current fiscal year. Federal non-tax revenue included mark-up (PSEs and others) Rs83.1 billion, dividend Rs97.5 billion, profit PTA and others Rs28.8 billion, surplus profit of State Bank of Pakistan Rs2.5 trillion, defence receipts Rs14.7 billion, passport fee Rs39.5 billion, discount retained on crude oil Rs12.3 billion, royalties on oil, gas Rs96.7 billion, windfall levy against crude oil Rs2.2 billion, petroleum levy on LPG Rs1.6 billion, gas infrastructure development Cess Rs714 million, natural gas development surcharge Rs27.3 billion, petroleum levy Rs549 billion, and others Rs99.7 billion.
The current expenditure Rs10.12 trillion included total interest payment of Rs5.1 trillion. The breakup included domestic markup at Rs4.7 trillion and foreign at Rs466 billion. In other expenditures, pension Rs449.6 billion, running of civil government Rs338 billion, subsidies Rs237 billion, and grants to others Rs585 billion. Development expenditure, and net lending Rs743 billion. Total development expenditure (PSDP) Rs772 billion.
All four provincial governments recorded a budget surplus of Rs775.5 billion during the first half of the current fiscal year. The expenditures of the four provincial governments remained at Rs3.4 trillion as compared to the revenues of Rs4.1 trillion.
Copyright Business Recorder, 2025
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