ISLAMABAD- Two provinces Punjab and Balochistan have failed to utilise their budgets in first quarter (July to September) of the current fiscal year that resulted in their surplus budgets.
Punjab and Balochistan have recorded budget surplus of Rs28.2 billion and Rs29.5 billion respectively in the first quarter of the ongoing financial year. However, budgets of Sindh and Khyber Pakhtunkhwa have registered deficit in the period under review. Overall, four provinces governments recorded budget surplus of Rs44.4 billion during July to September period of FY2021, as their expenditures remained at Rs614.5 billion as compared to the revenues of Rs658.9 billion. The government had budgeted provinces to give budget surplus of Rs242 billion during current fiscal year. Provinces surplus budget of Rs44.4 billion has helped the federal government in restricting budget deficit in first quarter of the present financial year. The country’s expenditures stood at Rs1.963 trillion as against the revenues of Rs1.479 trillion during July-September period of FY2021. The budget deficit, gap between government’s expenditures and revenues, was recorded at Rs484.3 billion (1.1 per cent of the GDP).
Punjab
Punjab province had recorded budget surplus of Rs28.24 billion during July-September period of the ongoing fiscal year. The expenditures registered at Rs273.05 billion as compared to the revenues of Rs301.298 billion. However, the major chunk of the revenues came from the federal government under divisible pool. The Punjab government had received Rs246.4 billion from the federal government during first quarter of the current fiscal year. Meanwhile, the province had generated only Rs50.24 billion from its own sources.
Sindh
The province had shown budget deficit of Rs8.58 billion in first months period, as it expenditures recorded at Rs186.15 billion compared to the revenues of Rs177.57 billion. Sindh government has received Rs124.7 billion from the federal government during July to September period of the year 2020-21. The Sindh government collected Rs50.57 billion during first quarter of the current fiscal year.
Khyber Pakhtunkhwa
The KP’s budget deficit had recorded at Rs4.8 billion. Expenditures of this province had registered at Rs124.4 billion as compared to the revenues of Rs119.6 billion. The KP’s tax collection had recorded at Rs6.6 billion in first half of the last year. The province has received Rs80.91 billion from the federal government under NFC during first quarter of the current fiscal year.
Balochistan
This province had also recorded budget surplus of Rs29.5 billion. Balochistan expenditures had remained at Rs30.87 billion as compared to the revenues of Rs60.39 billion. Balochistan’s tax collection had recorded at Rs4.3 billion.