Ministry demands 20% rise in defence budget for financial year 2014-15

The Ministry of Defence has demanded an increase of 20 percent in the defence budget for the fiscal year 2014-15.

Sources said that the Finance Ministry has been asked to make considerable enhancement in the defence budget allocation in wake of the evolving regional and global situation.

Defence budget to the tune of Rs 760 billion has been sought for the upcoming financial year. A major chunk of this budget goes to the Army followed by the Air Force and Navy.

The finance minister met the defence authorities twice to review budget-related matters.

Sources said budget amounting to Rs 380 billion has been sought for the Army, Rs 160 for the Air Force and Rs 80 billion for the Navy.

Budget amounting to Rs 627 billion was allocated for defence in the current fiscal year. An additional defence budget of Rs 133 billion has been demanded in the upcoming fiscal year.

Fluctuation in the value of the rupee is also instrumental in demanding the additional budget. Price hike and inflation have caused a rise in the costs of defence equipment.

It may be mentioned that whatever amount is allocated for defence department  is spent on defence ministry, armed forces, salaries and allowances of employees survey of Pakistan, Met Office and FG schools and colleges.