Aurangzeb rejects allegations of discrepancies in budget documents, GDP data

ISLAMABAD: Federal Minister for Finance and Revenue Muhammad Aurangzeb on Saturday rejected allegations of discrepancies in Pakistan’s budget documents and national income statistics, asserting that all economic data is compiled in accordance with internationally recognized standards.

Winding up the general debate on the Federal Budget 2026-27 in the National Assembly, the finance minister said the government had presented a balanced, growth-oriented, and stability-focused budget.

Responding to concerns raised by some lawmakers regarding GDP calculations and national income figures, Aurangzeb categorically rejected the allegations and clarified that there had been no change in the methodology used to calculate Gross Domestic Product (GDP), per capita income, or other national accounts aggregates.

He said the Pakistan Bureau of Statistics (PBS) continues to compile national accounts under the United Nations System of National Accounts (SNA 2008), using 2015-16 as the base year. He added that the reported GDP growth rate of 3.7 percent reflects real economic activity measured at constant prices in line with international practices.

The minister said national accounts are approved by the National Accounts Committee, which comprises representatives from federal and provincial governments, the State Bank of Pakistan, academia, and other relevant institutions.

According to Aurangzeb, nominal GDP is calculated at current market prices and converted into US dollars using average exchange rates, placing the size of Pakistan’s economy at approximately $452 billion in FY2025-26. He added that per capita income estimates are based on gross national income and population figures derived from the 2023 census.

Reviewing economic performance, Aurangzeb said Large-Scale Manufacturing (LSM) had grown by around 6.5 percent, the highest rate in four years, while the current account posted a surplus for the 11th consecutive month.

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According to Aurangzeb, Pakistan generated approximately $14 billion in additional tax revenue over the past two years, which he attributed to ongoing reforms and economic management.