Audit Reveals Financial Irregularities of Over 40 Billion Rupees in Balochistan for Fiscal Year 2023-24

QUETTA:An audit report by the Auditor General of Pakistan has exposed significant financial irregularities amounting to over 40 billion rupees in Balochistan during the fiscal year 2023-24. The report highlights concerns over the province’s inability to fully utilize its allocated development budget, with only 29% of the funds being spent on developmental projects.

According to the audit, the Balochistan government generated 15% more revenue through the Balochistan Sales Tax compared to the previous fiscal year, which contributed to a rise in the province’s income. However, the report reveals that there were serious financial discrepancies, including the misappropriation of 40.85 billion rupees. Specifically, the audit points out that 13.12 billion rupees worth of taxes and duties were evaded, resulting in a loss of 3.49 billion rupees. Additionally, 2.76 billion rupees were found to have been overpaid, and suspicious expenditures amounted to 236 million rupees.

The audit further shows that Balochistan’s total revenues for the fiscal year 2023-24 exceeded 620 billion rupees, with over 593 billion rupees spent, leaving over 27 billion rupees unutilized. Of the total revenues, 78% came from federal allocations, while the Balochistan Sales Tax accounted for 30.61 billion rupees, representing a 15% increase compared to previous years.

The report also includes recommendations for the provincial government to improve financial monitoring systems, ensure transparency in the preparation of PC-1 and PC-II documents, carry out third-party audits, align projects with international standards, refrain from spending on unnecessary closed schools, verify textbook stock, and accurately reflect the actual number of books printed. These steps aim to curb financial mismanagement and ensure better use of public funds in the future.

The revelations have sparked concerns about the need for greater financial discipline and accountability in the province, particularly in light of the ongoing challenges of poverty, unemployment, and underdevelopment.