Pakistan’s fiscal deficit to be Rs1,137bn more than target: IMF

The International Monetary Fund (IMF) has estimated that Pakistan’s fiscal deficit this year would be Rs1,137 billion more than the target.

In its Fiscal Monitor Report 2023, the Fund reported that Pakistan’s deficit will reach Rs8,042 billion in the year 2023-24, while the fiscal deficit target that the government has set is Rs6,905 billion.

The country’s expenditures are likely to reach almost double its gross income, according to the IMF report.

Rupee appreciations continues, gains 93 paisa against dollar in interbank

It further forecasts the deficit to be 7.6% of the GDP instead of 6.5%. The debt ratio will remain at 72.2% instead of the statutory target of 60%, the report says.

This year, the primary surplus is likely to be Rs421 billion, in line with the 0.4% target, according to the report.

The gross income is projected to be 12.5% and the gross expenditure 20.1% of the gross domestic product.