Finance Minister Aurangzeb unveils Rs18.877 trillion Budget FY2024-25 amid opposition protest
ISLAMABAD (APP) - Minister for Finance and Revenue Senator Muhammad Aurangzeb on Wednesday unveiled the Rs18.877 trillion relief-oriented federal budget for the Fiscal Year 2024-25 amid protest by the opposition.
Presenting the federal budget in the National Assembly, the finance minister said that GDP growth target for the fiscal year 2024-25 is fixed at 3.6 percent, whereas the inflation rate is expected to remain 12 percent.
He said that the budget deficit to GDP during the period under review is estimated at 6.9 percent, whereas the primary surplus during the review period is projected at 1.0 percent of the GDP. The minister said that the revenue collection of the Federal Board of Revenue (FBR) is estimated to Rs12,970 billion during up-coming fiscal year, adding that tax revenue collection during the current fiscal year grew by 38 percent and the provincial share would be Rs7,438 billion.
He said that the non-tax revenue targets of the federation are fixed at Rs3,587 billion, whereas the net income of the federal government would be Rs9,119 billion. The total expenditures of the federal government is estimated at Rs18,877 billion out of the total amount of Rs9,775 billion would be spent on interest payments. The government has allocated Rs1,400 billion for Public Sector Development Program (PSDP) in its current budget, adding that an additional amount of Rs100 billion would be allocated under Public Private Partnership, he added.
This year, he said, over all development budget was the highest in the country’s history comprising Rs1,500 billion. The minister said that the government would provide Rs2,122 billion for defence, and Rs839 billion would be allocated for Civil Administration. Meanwhile, an amount of Rs1,014 billion is also allocated for pension expenses, adding that Rs1,363 billion are allocated for the subsidy of the gas, electricity and other sectors.
Up to 25% increase in salaries, 15% in pensions
Finance Minister Muhammad Aurangzeb proposed 20-25 percent increase in the salaries on ad-hoc basis and 15 percent enhancement in the pensions of the Federal Government employees, realizing their financial hardships due to the increased inflation.
BISP’s budget increased up to Rs593 billion
To provide maximum relief to the disadvantaged segments of society, the federal government has increased budgetary allocations for the Benazir Income Support Programme (BISP) up to Rs593 billion, registering 29 percent increase as compared to the last year.
The number of beneficiaries who were receiving quarterly stipends under Benazir Kafaalat scheme has been increased from 9.3 million up to 10 million while the stipend amount will also be increased keeping in view the prevailing inflation.
Rs4b for E-bikes, Rs2b for energy efficient fans
Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb said the federal government was allocating Rs 4 billon to promote E-bikes and Rs 2 billion for roll out of energy efficient fans in the country to cut carbon emissions from transport sector and increased energy consumption.
Rs1 billion for promoting digital transformation
Finance Minister Muhammad Aurangzeb announced allocation of Rs1 billion in the Federal Budget 2024-25 for establishing the National Digital Commission (NDC) and the Digital Pakistan Authority (DPA).
“The objective of this initiative is to promote digital transformation, innovations and digital solutions in various departments,” he said.
