Fiscal Marksmanship in Pakistan: With Special Focus on Province Khyber Pakhtunkhwa

The present study aims to analyze the state of fiscal marksmanship in using annual time series secondary data. The findings revealed that the budgetary forecast in Pakistan at the federal level and provincial level in Khyber Pakhtunkhwa was inefficient and also the main component of errors was random. The budgetary forecast was not based on the rational expectation hypothesis and the budgetary efficiency deteriorated overtime at both federal and provincial level i.e. Khyber Pakhtunkhwa.  Based on the study, it is recommended that the government should be realistic and must avoid under/over-estimation of budgets to achieve fiscal targets.