Budget presentation likely delayed till June 10 amid IMF talks: government sources

WEB DESK: Pakistan’s federal budget for the upcoming fiscal year is unlikely to be presented on June 5 and may now be tabled on June 10, according to government and media sources, as discussions with the International Monetary Fund over key fiscal measures remain ongoing.

The government has not yet officially confirmed the change in schedule, nor given a reason for the expected delay, according to Business Recorder.

However, sources said unresolved issues with the International Monetary Fund, particularly related to creating additional fiscal space and provincial contributions to federal expenditures, have contributed to the postponement.

The federal budget is a key policy document outlining revenue and spending priorities for the next fiscal year.

IMF negotiations and fiscal adjustments

According to officials, negotiations with the International Monetary Fund are still under way, with particular focus on measures to bridge financing gaps and ensure compliance with programme targets.

Pakistan is currently engaged in a $7b IMF bailout programme, which authorities say has played a role in stabilising macroeconomic conditions.

Sources added that one of the sticking points relates to provincial fiscal surpluses and their potential transfer or adjustment to support federal spending needs.

These discussions are considered crucial for finalising the budget framework.

Parliamentary session to proceed as planned

Despite the anticipated delay in the budget presentation, the parliamentary session scheduled for June 5 will go ahead as planned.

Government and opposition members are expected to use the sitting to debate broader economic conditions and fiscal priorities, even in the absence of the formal budget document.

Officials from the finance ministry have so far not issued an official statement regarding the revised timeline.