ISLAMABAD: Budget for the upcoming fiscal year of 2019-20 will be presented in the National Assembly on Tuesday.
The budget envisages fiscal management, revenue generation, measures for economic stabilization and growth, reduction in non-development expenditures; boosting exports besides providing relief to the masses, promoting investment for job creation and people-friendly policies for the socio-economic prosperity of the country.
As per details, the federal government will table the budget amounting Rs6,800 billion before the Lower House of Parliament. The budget deficit is expected to cross the Rs3000bn benchmark.
In an unprecedented move, the defense budget will not be increased. The military will receive Rs1,250bn for defense purposes — the same budget as the previous year. The additional revenue will be used for the development of underprivileged areas in Khyber Pakhtunkhwa province.
Reportedly, new taxes amounting Rs750bn will be imposed on everyday commodities including consumer items, electric appliances, electronic tractors, agricultural tools, and clothing.
The government is expected to seek a 10 percent increase in salaries and pensions of government employees of Grade 1 till 16.
The budget will be presented after approval from Prime Minister Imran Khan and the federal cabinet in a meeting on Tuesday.
The postulates in the upcoming budget are prepared as per the conditions of the International Monetary Fund (IMF).
Pakistan Tehreek-e-Insaf government has decided not to grant any increase in salaries of the bureaucrats as well as the top officeholders in the upcoming budget. No increment will be given to the Prime Minister and President.
“Rs40bn will be saved as a result of the government’s campaign which aims to improve the economy. Prime Minister Imran Khan had himself ordered it,” sources said.
Sources added that the austerity campaign aims to freeze the salary scale of government officials whereas, similar to defense officials, the government is considering not increasing the salaries of all bureaucrats.
Moreover, only officials of Grade 1 till 16 are likely to receive pay-hike, sources added.