ISLAMABAD: On Tuesday, The Pakistan Tehreek-e-Insaf Government presented its first Federal Budget for the fiscal year 2019-20. Hammad Azhar, the Minister of State for Revenue presented the Federal Budget in National Assembly, Islamabad. He stated that the basic purpose to prepare this Federal Budget is the welfare of Pakistani people. He further says that the Government is taking initiatives to reduce the Revenue deficits. The government has started Billion-Tree Tsunami and Clean-Green programs for Green Pakistan. The Fiscal deficit of Pakistan is touching Rs 2260 billion. However, the friend countries of Pakistan aided us more than $9 billion to stay stronger.
Some Headlights of the first Federal Budget of PTI Government are as below:
- Civil Servants from Grade 1 to 16 will get 10% Adhoc Relief allowance
- Civil Servants from Grade 17 to 20 will get 5% Adhoc relief allowance
- No increment in the salaries of civil officers from Grade 21 to Grade 22.
- Retired people will get 10% increment in pension.
- Minimum Wage for laborers is set at Rs 17,500.
- Rs 5.50 billion for Utility Stores
- Rs 15.5 billion subsidies allocated to PASCO
- Cabinet members decided to decrease their salaries by 10% voluntarily.
- 80 thousand deserving people will get interest-free loans every month.
- The defense budget will be around Rs 1.150 trillion.
- Rs 36.8 billion will be used in Finance Division projects
- Civil budget decreased from Rs 460 billion to Rs 437 billion
- The salaries of advisers and special assistants to ministers will be decreased by 10%
- Govt. sets a target to get Rs 150 billion from the privatization of institutions
- Rs 20 billion to spend for land purchasing for Diamer Bhasha Dam
- Rs 19 Billion for Multan-Sukhhar Motorway
- Rs 45.5 billion for 9 development projects for Karachi
- Subsidy of Rs 40 billion for Electricity and Gas
- Rs 47 Billion for higher education
- Rs 18 Billion National Development Program
- Rs 152 billion for KPK development programs
- Rs 70 billion allocated for Federal Public Sector Development Program
- Tax revenue for the fiscal year 2019-20 is set at Rs 5,822 billion
- Non-tax revenue target is set at Rs 894 billion
- Rs 1,863 billion allocated for Public Sector Development Program
- Ration Scheme for poor people
- Anti-money-laundering laws will be introduced
- Govt sets the target to reduce the circular debts within this fiscal year
- Stipend through BISP has been increased by Rs 500. Earlier it was Rs 5,000 and now it will be Rs 5,500
- Government has constituted a new ministry to eradicate Poverty from Pakistan. It will introduce social safety programs such as Ehsaas program for poor, homeless, disabled and orphaned people.
- 10% tax applies on milk, cream, and flavored milk.
- 5% custom duty applies on LNG.
- Sales tax on sugar has been increased from 8% to 17%. So, the consumers will see a rise of Rs 3.5/kg in sugar prices.
- Sales tax applies to jewelry making.
- Federal excise duty on cold drinks has been increased from 11.5% to 13%.
- Tax duty on cooking oil and ghee has been increased up to 17%.
- Federal excise duty on Cement has been increased from Rs 1.5 to Rs 2.
- Federal excise duty on cars has been increased. The budget recommends 2% FED on cars up to 1000cc.
