ISLAMABAD: In an unprecedented move happening for the first time in the country, the budget document for 2026-27 shows that the federal government is projected to receive grants from the provinces to the tune of Rs1,035 billion in the next fiscal year.
All kinds of relief measures and strategic expenditure can only be fulfilled by the Centre when the provinces under Article 164 committed grants of Rs1,035 billion to the Centre in the upcoming budget. In the Non Tax Revenue (NTR) receipts, it is the second last classification introduced for first time in the budget documents showing that the grants/receipts from the provinces is estimated at Rs1,035 billion in the budget for 2026-27. The provinces deducted these resources from their respective annual development plan outlays and Punjab faced the cut of almost 48 percent in its development budget for the next fiscal year. Total Non Tax Revenue receipts are estimated at Rs5.335 trillion in the upcoming fiscal year against the revised estimates of Rs5.09 trillion in the outgoing fiscal year. The petroleum levy remains the largest avenue to generate Rs1,676.5 billion in the coming fiscal year while the profit of the SBP would be reduced to Rs1,435 billion in 2026-27 against estimates of Rs2,428 billion in the outgoing fiscal year.
