Islamabad, June 15 -- Pakistan's government has cautioned that several economic and external factors could significantly impact the country's fiscal outlook for the 2026-27 financial year, according to a fiscal risk statement submitted to parliament.

The report, presented by Finance Minister Muhammad Aurangzeb and Finance Secretary Imdad Ullah Bosal under the Public Finance Management Act 2019, outlines major risks that could widen the fiscal deficit.

According to Dawn, the government has identified rising global oil prices, particularly amid ongoing tensions in the Middle East, as a major concern.

The Finance Ministry warned that if authorities choose not to pass the full increase in fuel prices on to consumers, petroleum levy collect...