ISLAMABAD – Pakistan’s government collected an additional Rs110 billion in petroleum levy during the July–September quarter, according to official documents from the Ministry of Finance. The total collection under the petroleum levy reached Rs371 billion, up from Rs261 billion during the same period last year, marking a 42.12% year-on-year increase.
The report shows that the government’s budget surplus stood at 1.6% of GDP, while the primary balance reached 2.7% of GDP, in line with IMF conditions. During the quarter, total government revenues were Rs6.2 trillion, against expenditures of Rs4.08 trillion. Debt servicing cost the government Rs1.377 trillion, while Rs447 billion was spent on defence.
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Additional levies included Rs10 billion under the carbon levy and Rs3 billion under the EV adoption levy. Key expenditures encompassed Rs249 billion on pensions, Rs161 billion on civil administration, and Rs119 billion on subsidies. The State Bank of Pakistan recorded a profit of Rs2.428 trillion during the period.
Transfers to provinces under the NFC Award amounted to Rs1.775 trillion, with Punjab receiving Rs882 billion, Sindh Rs441 billion, Khyber Pakhtunkhwa Rs287 billion, and Balochistan Rs164 billion. Notably, all four provinces posted budget surpluses in the first quarter, reflecting rare provincial fiscal discipline.
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The government also borrowed Rs2.119 trillion to meet its fiscal obligations, while continuing to manage domestic debt servicing of Rs1.176 trillion, highlighting ongoing challenges in balancing revenue generation and expenditure management.