PESHAWAR: The Khyber Pakhtunkhwa (KP) government here on Wednesday unveiled Rs 603 billion tax-free budget carrying development outlay of Rs 208 billion for the year 2017-18 with a major focus on the elimination of corruption and the development of the social sector.
Provincial Finance Minister Muzafar Said presented the fifth budget of the PTI-led coalition government in the KP assembly last Saturday afternoon with Speaker Asad Qaiser in the Chair.
A special meeting of the Khyber Pakhtunkhwa Cabinet with Chief Minister Pervez Khatak in the chair on Wednesday approved budget proposals for the year 2017-18.
The KP government also announced 10 percent increase in salary and pension of the government employees after the merger of the 2010 ad-hoc relief.
Minimum wages have been increased from Rs14000 to Rs.15000. The rise in salaries and pensions would burden the provincial kitty with Rs16.50 billion
The province is also expected to receive Rs247.876 billion from the Federal Divisible Pool 2017-18, Rs.107 million as one percent share of the province in the war against terror from the federal divisible pool and Rs49.806 billion as straight transfers from the federation.
The province will receive Rs21.774 billion under net hydel profit and arrears from the federal government and Rs114.535 million as arrears of the net hydel profits.
The province’s own receipts have been pitched at Rs68.31 billion for 2017-18. The current expenditure has been pitched at Rs388 billion to meet the provincial expenditure to be incurred next year, said the finance minister.
The finance minister also informed that the provincial government will generate Rs126 billion from its own sources for the development programme whereas Rs 82 billion would be generated through foreign donor agencies aimed at feeding the development programmes.
