Pakistan collected a record 1.567 trillion rupees in petroleum levy revenue in fiscal year 2025–26, a 29% surge driven partly by elevated consumer fuel prices following US-Israeli strikes on Iran, official data from the Ministry of Finance showed. The windfall, combined with a sharp drop in interest payments and record provincial cash surpluses totalling 1.45 trillion rupees, helped shrink the country's fiscal deficit to 2.6% of GDP — its lowest level since 2003 — while the primary surplus (revenues minus non-debt expenditure) reached a historic 2.9% of GDP. However, the cost of running the civil government rose 16% to cross one trillion rupees for the first time, defence spending climbed 18% to 2.588 trillion rupees, and a record statistical discrepancy of 853 billion rupees in the accounts drew scrutiny.