Pakistan, June 10 -- Pakistan's federal government and the Pakistan Peoples Party (PPP) have reached a key fiscal agreement ahead of the next budget. The deal finalises arrangements on tax targets and revenue sharing. It directly affects federal finances, provincial contributions, and budget planning for the upcoming fiscal year.

The breakthrough came after successful negotiations between a government technical committee and PPP representatives. Deputy Prime Minister Ishaq Dar chaired the discussions, which focused on fiscal coordination. Moreover, both sides agreed on a framework to manage additional tax revenues without altering the NFC formula.

Under the agreement, the federal government will receive additional revenue linked to next...