Q1 Fiscal Operations: Punjab’s Rs. 160 Billion Deficit Turns to Rs. 40 Billion Surplus 

The Ministry of Finance has revised the fiscal operations figures of the first quarter (Q1) of current fiscal year (FY25), showing a cumulative provincial surplus of Rs. 360 billion against a target of Rs. 342 billion agreed with the International Monetary Fund (IMF),   Surprisingly, the provincial surplus of Rs. 40 billion has been shown for Punjab in contrast to the previously reported deficit of Rs. 160 billion.  Following the correction, the government closed Q1FY25 with a budget surplus of Rs. 1,896.01 billion, an increase of Rs. 200 billion, compared to Rs. 1,696.01 billion uploaded earlier by the finance ministry. With the revision of the figures, the budget surplus ratio to GDP has improved to 1.5 percent, up from the earlier 1.4 percent.  The ministry claimed that with concurrence of the Fund, the revised figures were updated at its website, showing a provincial surplus of Rs. 40 billion for Punjab.  The ministry endorsed the views of the government of the Punjab on the achievement of a provincial surplus of Rs. 40 billion during Q1. The Punjab government has remained one of the most important contributors to provincial surplus during recent years; for FY25 it has budgeted a provincial surplus of Rs. 630 billion as agreed with the IMF, the ministry added.   The ministry shared the updated Q1 fiscal operations figures with the IMF on Thursday. With concurrence of the Fund, the revised figures were updated at its website.   As per the earlier data, among provinces, Punjab recorded a budget deficit of Rs. 160.16 billion. Sindh saw a budget surplus of Rs. 131.09 billion, Khyber Pakhtunkhwa registered a budget surplus of Rs. 103.75 billion, and Balochistan posted a provincial surplus of Rs. 85 billion