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The Nexus
BUSINESSJun 12 · 02:18 UTCDAWN[email protected] (Zaki Abbas)

ECONOMIC SURVEY 2026-27: Record provincial surplus masks deeper fault lines

Provincial governments in Pakistan achieved a record surplus of Rs1,636.1 billion in 2025-26 due to increased revenue and prudent spending. However, experts highlight deeper fiscal challenges, including the need for federal-provincial fiscal reciprocity, revamping the NFC formula, and addressing bloated public sector expenses.

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