The fiscal deficit narrowed to 0.8 percent of Gross Domestic Product (GDP) during the first quarter of the fiscal year 2021-22, according to monthly Economic Update and Outlook for November released by the finance ministry here.
Last year, the deficit during the period was recorded at 1.1 percent of GDP, it says adding the revenue growth outpaced the growth in expenditures.
In absolute terms, the fiscal deficit has been reduced to Rs 438.5 billion in Q1 FY2022 against Rs 484.3 billion in the comparable period of last year.
The primary balance remained in surplus and stood at Rs 184.2 billion (0.3 percent of GDP) in Q1 FY2022 against the surplus of Rs 257.7 billion (0.6 percent of GDP) last year “The fiscal performance remained strong during the first quarter of the current fiscal year on the back of healthy growth in tax revenues, careful expenditure management and higher provincial surplus,” the report says.—APP
