Pakistan budget deficit widens by 43% in first quarter of 2022-2023

Pakistan budget deficit widens by 43% in first quarter of 2022-2023

ISLAMABAD: Pakistan budget deficit has widened by 43 per cent in the first quarter (July – September) of current fiscal year 2022-2023, according to official data released by the ministry of finance on Friday.

The budget deficit of the country was 1 per cent of the GDP during the first quarter of the current fiscal year as compared with the deficit of 0.7 per cent in the corresponding quarter of the preceding fiscal year.

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According to data the total revenue increased to Rs2.02 trillion during the quarter under review as compared with Rs1.81 trillion in the same quarter of the last year.

The tax revenue rose to Rs1.78 trillion during July – September of the current fiscal year as compared with Rs1.53 trillion in the same period of the last year.

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Non-tax revenue however fell to Rs235 billion during the first quarter of the current fiscal year when compared with Rs276 billion in the same period of the last fiscal year.

During the period under review expenditures of the country rose significantly to Rs2.83 trillion as compared with Rs2.25 trillion in the corresponding period of the last fiscal year.

Out of total expenditures, the current expenditures grew sharply to Rs2.54 trillion during first quarter of the current fiscal year as compared with Rs1.97 trillion in the same quarter of the last fiscal year. The mark-up payment during the quarter under review also surged to Rs954 billion when compared with Rs623 billion in the corresponding quarter of the last year.

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Defence spending increased to Rs313 billion during the first quarter of the current fiscal year as compared with Rs262 billion in the same period of the last fiscal year.

The present government spent an amount of Rs220 billion on development projects during the quarter under review, which fell from Rs265 billion in the corresponding quarter of the last year.

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Overall budget deficit recorded at Rs809 billion during the first quarter of fiscal year 2022-2023 when compared with the deficit of Rs438 billion in the same quarter of the last fiscal year.

The size of GDP has been recorded at Rs78.197 trillion in July – September of the current fiscal year as compared with Rs66.95 trillion in the same period of the last fiscal year.