Tax-to-GDP at the highest level, fiscal deficit at the lowest

Islamabad: According to a report by Topline Securities, Pakistan’s fiscal deficit in the fiscal year 2025 was 5.38 percent, which is the lowest in 9 years.  Along with this, the tax-to-GDP ratio reached 11.3 percent, which is the highest level in 7 years.

The report said that the FBR collected Rs 1.29 trillion in revenue, while the primary balance was in surplus of 2.4 percent of GDP. According to experts, the improvement is expected to continue in the fiscal year 2026 as well, which has increased the possibility of stabilizing the economy.