SBP transfers record Rs1.93tr to government

The State Bank of Pakistan (SBP) has transferred Rs1.932 trillion in surplus profit to the federal government during the first two months of the current fiscal year, significantly exceeding the amount projected for the entire financial year 2026-27.

Senior Finance Division officials confirmed that the transfer was made as non-tax revenue, providing the national exchequer with nearly Rs500 billion more than the budgeted target of Rs1.435 trillion for FY27.

The latest transfer highlights the central bank’s position as the largest contributor to the government’s non-tax revenue. Under amendments to the SBP Act approved by parliament, surplus profits generated during the previous financial year are transferred to the Finance Ministry at the beginning of the following fiscal year.

During FY26, the central bank transferred Rs2.619 trillion to the government, exceeding the initial budget estimate of Rs2.4 trillion.

Overall, the federal government collected Rs2.36 trillion in non-tax revenue during July and August of FY27, against the full-year target of Rs5.33 trillion. The SBP accounted for the overwhelming majority of these receipts.

The petroleum levy was the second-largest contributor, generating Rs220.2 billion during the two-month period. Other significant receipts included Rs25.85 billion in oil and gas royalties and Rs18.83 billion in markup payments on loans to state-owned enterprises and other entities.

The government also collected Rs16.8 billion in markup from provincial governments, while the Pakistan Telecommunication Authority contributed Rs16.07 billion. Revenue from the Natural Gas Development Surcharge stood at Rs12.61 billion.

Passport fees generated Rs7.279 billion against the annual target of Rs73 billion. The government also received Rs3.47 billion under the defence-related revenue category.

Other sources included Rs27.58 billion from the Climate Support Levy and Rs7.22 billion through the New Energy Vehicle Adoption Levy. Provincial governments provided Rs34.8 billion in grants to the federal government, while other taxes generated Rs21 billion.

Receipts from Islamabad Capital Territory taxes amounted to Rs8.278 billion. The government also collected Rs2.096 billion in dividends during the first two months.

Meanwhile, the Off-the-Grid Captive Power Plant levy had generated no revenue during the period, despite an annual collection target of Rs15.7 billion.

For FY27, the government has set a petroleum levy target of Rs1.676 trillion. It has also projected Rs140.5 billion in oil and gas royalties and Rs70.81 billion from the Natural Gas Development Surcharge.

The latest figures show that the government has received a substantial early boost to its non-tax revenue collections, largely driven by the SBP’s surplus profit transfer.