ISLAMABAD: Pakistan’s federal budget for the upcoming fiscal year is unlikely to be presented on June 5 as previously expected, with government sources indicating that key fiscal issues remain unresolved in ongoing discussions with the International Monetary Fund (IMF).
According to a government official familiar with the matter, the budget may now be unveiled on June 10, a claim also reported by local media outlets, including Geo News. The official requested anonymity as they were not authorized to speak publicly on the issue.
Despite the likely postponement of the budget presentation, the parliamentary session scheduled for June 5 will proceed as planned. The session is expected to provide an opportunity for lawmakers from both the treasury and opposition benches to discuss budget-related matters and broader economic challenges.
While the government has not officially announced the reason for the delay, sources suggest that negotiations with the IMF are still underway regarding several fiscal measures aimed at creating additional budgetary space.
One of the key issues under discussion reportedly involves provincial governments relinquishing a portion of their funds to support federal spending requirements and help meet fiscal targets agreed under Pakistan’s IMF-supported reform programme.
Pakistan is currently implementing a $7 billion IMF bailout programme, which has played a crucial role in stabilizing the economy, strengthening foreign exchange reserves, and restoring investor confidence after a period of severe economic stress.
The Ministry of Finance has yet to issue an official statement regarding the reported postponement of the federal budget. Further clarity is expected once consultations with the IMF are concluded and a final schedule for the budget presentation is announced.
By Reuters
