Earned Rs 989 billion, expensed Rs 1480 bllion and borrowed Rs 443billion
The Pakistan Government borrowed Rs 443 billion during the first six months (July-December) of the current fiscal year to finance the budget deficit against an estimated Rs 166 for the entire fiscal year, reveals fiscal operation report of the Finance Ministary.
The fiscal operation report revealed that 2.9 per cent consolidated fiscal deficit for the six months was financed by borrowing from the central and commercial banks. Analysis of the statistics disclosed a dismal state of external inflows for budgetary support with only Rs46 billion disbursed during the first six months in contrast to the Rs185 billion estimated on this account in the budget for the current fiscal year.
The reason behind the slow release of approved external assistance is the stalled Stand By Arrangement (SBA) of the International Monetary Fund (IMF) and the consequent unwillingness of other multilaterals and bilateral to release assistance without issuance of letter of comfort by the Fund. The disparity between revenue and expenditure is alarming with total consolidated expenditure going up to 8.6 per cent of the GDP during the first six months of the current fiscal year against total revenue of only 5.8 per cent of GDP.
Total expenditure jumped to Rs1480 billion against Rs 989 billion revenue collection for the period under review. The provincial contribution in Rs 989.618 billion six months revenue collection was merely Rs52 billion. Tax and non tax revenue collection at federal level was Rs 693 billion and Rs242 billion and at provincial level Rs 27 billion and Rs 25 billion respectively. Of the total 5.8 per cent revenue collection, 4.2 per cent was tax revenue and 1.6 per cent was non tax revenue.
On expenditure side, analysis of the data showed that total revenue collection of 5.8 per cent of GDP during the first six months of the current fiscal year was insufficient to even meet the two main components of current expenditure - interest payment and defense expenditure during the period. The consolidated current expenditure for the first six months stood at Rs 1226 billion: Rs310 billion for interest payment and Rs 214 billion for defense expenditure during July-December 2010-11.
The total releases for Public Sector Development Projects (PSDP) stood at Rs 124 billion (excluding development grants to provinces) that included Rs 66 billion to the federal and Rs58 billion to provincial PSDPs.
The fiscal operation of Punjab government was Rs.210.864 billion during July-December 2010-11 and expenditure Rs.194.209 billion, reflecting a surplus of Rs16. 655 billion. Punjab received Rs.186.408 billion as its share from federal revenue while its own revenue generation was Rs 24.457.
Sindh’s total revenue during the first six months of the current fiscal year was Rs.135.268 billion while its expenditure was Rs 121.632 billion, showing a surplus of Rs 13.636 billion. The province received Rs.118.552 billion as its share from federal revenue while collection on account of provincial taxes and non taxes was Rs 11.648.
The total revenue of Khyber Pukhtunkhawa during the first half of the current fiscal year remained at Rs.107. 079 billion and its expenditure was Rs.67.285 billion showing a surplus of Rs 39.794 billion. The province received Rs.64.001 billion as its share of federal .
The fiscal operation of Balochistan showed that provincial revenue was Rs 64.140 billion during the first six months of the current fiscal year while its total expenditure was Rs 34.194 billion, showing a surplus of Rs 29.946 billion. The province received Rs.49.628 billion as its share from federal.
The Pakistan Government borrowed Rs 443 billion during the first six months (July-December) of the current fiscal year to finance the budget deficit against an estimated Rs 166 for the entire fiscal year, reveals fiscal operation report of the Finance Ministary.
The fiscal operation report revealed that 2.9 per cent consolidated fiscal deficit for the six months was financed by borrowing from the central and commercial banks. Analysis of the statistics disclosed a dismal state of external inflows for budgetary support with only Rs46 billion disbursed during the first six months in contrast to the Rs185 billion estimated on this account in the budget for the current fiscal year.
The reason behind the slow release of approved external assistance is the stalled Stand By Arrangement (SBA) of the International Monetary Fund (IMF) and the consequent unwillingness of other multilaterals and bilateral to release assistance without issuance of letter of comfort by the Fund. The disparity between revenue and expenditure is alarming with total consolidated expenditure going up to 8.6 per cent of the GDP during the first six months of the current fiscal year against total revenue of only 5.8 per cent of GDP.
Total expenditure jumped to Rs1480 billion against Rs 989 billion revenue collection for the period under review. The provincial contribution in Rs 989.618 billion six months revenue collection was merely Rs52 billion. Tax and non tax revenue collection at federal level was Rs 693 billion and Rs242 billion and at provincial level Rs 27 billion and Rs 25 billion respectively. Of the total 5.8 per cent revenue collection, 4.2 per cent was tax revenue and 1.6 per cent was non tax revenue.
On expenditure side, analysis of the data showed that total revenue collection of 5.8 per cent of GDP during the first six months of the current fiscal year was insufficient to even meet the two main components of current expenditure - interest payment and defense expenditure during the period. The consolidated current expenditure for the first six months stood at Rs 1226 billion: Rs310 billion for interest payment and Rs 214 billion for defense expenditure during July-December 2010-11.
The total releases for Public Sector Development Projects (PSDP) stood at Rs 124 billion (excluding development grants to provinces) that included Rs 66 billion to the federal and Rs58 billion to provincial PSDPs.
The fiscal operation of Punjab government was Rs.210.864 billion during July-December 2010-11 and expenditure Rs.194.209 billion, reflecting a surplus of Rs16. 655 billion. Punjab received Rs.186.408 billion as its share from federal revenue while its own revenue generation was Rs 24.457.
Sindh’s total revenue during the first six months of the current fiscal year was Rs.135.268 billion while its expenditure was Rs 121.632 billion, showing a surplus of Rs 13.636 billion. The province received Rs.118.552 billion as its share from federal revenue while collection on account of provincial taxes and non taxes was Rs 11.648.
The total revenue of Khyber Pukhtunkhawa during the first half of the current fiscal year remained at Rs.107. 079 billion and its expenditure was Rs.67.285 billion showing a surplus of Rs 39.794 billion. The province received Rs.64.001 billion as its share of federal .
The fiscal operation of Balochistan showed that provincial revenue was Rs 64.140 billion during the first six months of the current fiscal year while its total expenditure was Rs 34.194 billion, showing a surplus of Rs 29.946 billion. The province received Rs.49.628 billion as its share from federal.
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