‘Did not publish on time’: US flags Pakistan’s defence budgets; urges transparency

The United States has referred to as on Pakistan to convey its army and intelligence budgets underneath parliamentary or civilian oversight, figuring out this as a key step to bettering fiscal transparency. The advice was made within the US State Department’s 2025 Fiscal Transparency Report, launched on Friday, which reviewed how 140 governments disclose and handle their public funds.“The military and intelligence budgets were not subject to adequate parliamentary or civilian public oversight,” the report mentioned in its part on Pakistan. It went on to advocate that “steps Pakistan could take to improve fiscal transparency include subjecting the military and intelligence agencies’ budgets to parliamentary or civilian public oversight.”

The report additionally urged Islamabad to make its govt finances proposal out there to the general public inside an affordable time-frame. “The government… did not publish its executive budget proposal within a reasonable period,” it famous, including that such publication would enable for wider scrutiny and knowledgeable debate.

On debt disclosure, the evaluation was equally essential. It noticed that “the government made only limited information on debt obligations, including major state-owned enterprise debt, publicly available.” The State Department suggested “disclosing detailed information on government debt obligations, including for state-owned enterprises” to reinforce openness.Despite these shortcomings, the report acknowledged areas the place Pakistan has proven progress. It mentioned the “enacted budget and end-of-year report [were] widely and easily accessible to the public, including online,” and described the finances data as “generally reliable and subject to audit by the supreme audit institution.” It additionally praised Pakistan’s auditing physique, noting it “met international standards of independence” and produced findings that have been publicly out there inside an affordable time.The report additional highlighted that Pakistan had “specified in law or regulation, and appeared to follow in practice, the criteria and procedures for awarding natural resource extraction contracts and licences,” with “basic information on natural resource extraction awards [made] publicly available.” It additionally famous that the nation’s sovereign wealth fund operated underneath a sound authorized framework, and knowledge on procurement contracts was accessible.The findings echo issues raised in earlier years about gaps in debt transparency and the absence of legislative scrutiny of defence spending. The timing of the report is critical, coming as Pakistan grapples with fiscal pressures. Its 2025-26 finances set complete outlays at Rs17.57 trillion, with Rs9.7tr allotted for debt servicing and Rs2.55tr for defence — a close to 20 per cent improve from the earlier 12 months, Dawn reported.According to the State Department, its suggestions goal to strengthen accountability, bolster investor confidence, and help Pakistan’s efforts to draw overseas financing for financial stability. The annual report additionally underlined that fiscal transparency is important for good governance, market confidence, and worldwide monetary credibility.