Budget 24-25. The financial deficit was estimated to be 8500 billion rupees. The opposition members protested and created noise in the House by taking photos of PTI founder

A budget of 18 thousand 877 billion rupees has been presented in the National Assembly for the financial year 2024-25.
25% increase in salaries of employees from grade 1 to 16, 20% increase in salaries of officers in grades 17 to 22
Fifteen percent increase in pension, minimum salary of laborer was proposed to be fixed at 37 thousand rupees
2122 billion rupees were allocated for the country’s defense expenditure
Net income target is 9119 billion, 9775 billion interest will be paid.
The financial deficit was estimated to be 8500 billion rupees.
8500 billion rupees will be borrowed to meet the financial deficit. Federal Finance Minister’s budget speech
The opposition members protested and created noise in the House by taking photos of PTI founder

ISLAMABAD (  WEB NEWS  )

In the National Assembly, Federal Fina

nce Minister Muhammad Aurangzeb presented a budget of 18 thousand 877 billion rupees for the financial year 2024-25. A new financial bill was also presented. A 25 percent increase in the salaries of federal employees in grades one to sixteen, while a 20 percent increase in the salaries of officers in grades seventeen to twenty-two has been proposed. Fifteen percent increase in pension has been proposed to fix the minimum salary of workers at 37 thousand rupees. 2122 billion rupees have been allocated for the country’s defense expenses. The net income is 9 thousand 119 billion. 775 billion interest will be paid. On the occasion of the budget, the opposition members took photos of the founder PTI and started protesting in the house. The speaker of the National Assembly gave the floor to the finance minister to present the budget. Prime Minister Shehbaz Sharif, Deputy Prime Minister Ishaq Dar, opposition leader Umar Ayub were also present. A budget of 18 thousand 877 billion has been presented for the next financial year. In the next financial year, FBR will collect 12970 billion rupees, while it is estimated to allocate 4845 billion rupees in the form of non-tax income. 9775 billion rupees will be spent for payments, 1014 billion rupees for pensions, 1363 billion rupees have been allocated for subsidies, 2122 billion rupees will be spent on defense in the next financial year. It is a matter of honor for me to present the budget for the financial year 2024-25 before this honorable House, this is the first budget of the coalition government after the elections of February 2024 and I am the leader of the political parties in the coalition government under the leadership of Prime Minister Shahbaz Sharif. I would like to thank from the bottom of my heart especially Muhammad Nawaz Sharif, Bilawal Bhutto Zardari, Khalid Maqbool Siddiqui, Chaudhry Shujaat Hussain, Abdul Aleem Khan and Khalid Hussain Magsi for their guidance. 25% increase in salary for government employees from grade 1 to 16. Proposal, 20% increase in the salary of government employees of grade 17 to 22. It is proposed to increase the pension of government employees by 15%. The minimum monthly salary is being increased from 32 thousand to 37 thousand rupees. Hybrid and luxury electric. It has been decided to take tax on the basis of the price of the vehicle instead of the efficiency of the engine while eliminating the discount given on the import of vehicles. The announcement of discount on the import of raw materials and parts for solar panels to bring reforms in the pension system. A proposal has been made. 2 thousand 122 billion rupees have been allocated for defense. It is proposed to allocate 89 billion rupees for the IT sector. The finance minister said that despite the political and economic challenges, our progress on the economic front during the last one year has been impressive. Today, nature has given Pakistan another opportunity to embark on the path of economic development, we cannot afford to waste this opportunity. He said that the IMF program was coming to an end in June last year. And there was a lot of uncertainty regarding the new program. Delays in the new program could have created a lot of problems, but the previous government of Shehbaz Sharif entered into a standby agreement with the IMF. The road has been paved and the situation of uncertainty has come to an end. Senator Muhammad Aurangzeb said that the inflation has come down to about 12% in May, food items are now within the reach of the people and if we look at the challenges faced, this is no small achievement. Inflation is likely to come down further in the coming days. Federal Finance Minister Muhammad Aurangzeb said that we are continuing the Home Grown Reform Agenda with determination and determination that Pakistan will soon enter the era of inclusiveness and sustainable development. He said that everyone is well aware that the road is tough and we have limited options but this is the time for reforms, this is the time to give the private sector central importance in our economy. And make Pakistan your priority instead of a few people. The necessary burdens have been imposed which have made government expenditure unsustainable, resulting in inflation, low productivity and low income jobs for the people of Surat. The minister said that to come out of this cycle of low growth, structural Reforms have to be pushed forward and incentives in the economy have to be realised, viz. We have to move towards a market-based economy instead of one government determining the economy. Our economic system has to keep pace with the global economy and promote exports. Our economic growth should be savings and capital based rather than consumption based. The federal minister said that while bringing these changes in the economic system, we should not neglect equity and inclusion, we should be bold by looking at the following aspects. Actions are needed. . Like all modern economies, we have to limit the footprint of the state to essential public services while undertaking extensive privatization and regulatory reforms. In order to improve productivity, investment from home and abroad must be encouraged and regulatory and investment climate improvements must be made. It is also imperative to establish a broad-based fair taxation regime that provides equal opportunities to all and eliminates anti-export distortions. There is a need for market-based reforms in the energy sector to reduce the cost of energy. The creation of health, education and skill development systems is very important for a modern economy. He said that reducing the budget deficit is our A fair tax policy will be an important goal, and in this regard, we will increase our revenues better and reduce unnecessary expenses, but while reducing this, we have to prioritize measures to deal with human development, social security and climate change. They will not be reduced. He stressed the need to make the energy sector efficient, saying that we have to reduce production costs, restructure and privatize SEO and ensure good governance and equal opportunities for all. The aim of this is to solve the chronic problem of expenditure exceeding revenue. The finance minister said that Pakistan is far behind other countries in terms of tax rate compared to GDP. As tax reform is very important for our economic success, multi-pronged initiatives are already underway in FBR and the Prime Minister is keeping a close eye on digitization, tax policy and administrative reforms in FBR and has a clear direction. That burden should not be placed on those already in the tax net, but the scope of taxation should be expanded. Referring to the Trader Dost Scheme, he said that the aim of this scheme is to register wholesalers, dealers and retailers and till now We have already registered 30,400 people and it will be accelerated in the coming days to make effective use of existing data. He asked the provinces and the government to work together to increase overall resources. Emphasizing the importance, he said that we propose a comprehensive National Fiscal Pact with all the provincial governments because coordination and unity is the only way to achieve the goal of self-sufficiency and consultation with the provinces is ongoing in this regard. Mentioning the steps to be taken, he said that a proposal to eliminate all vacant posts from PBS 1 to 16 is under consideration, which is likely to save Rs 45 billion annually while reducing the size of the federal cabinet. A committee has also been constituted to do this. He said that a major part of the budget of any government is spent on the procurement of goods and services, along with improving the efficiency of the government through ease and transparency in the procurement system. Resources can also be saved and government expenditure can be reduced by 10 to 20 percent through e-procurement, while it will also help in controlling problems like corruption, fraud and malfeasance in the system. Giving more details, the senator said that this system has been implemented in 37 ministries and 279 procuring agencies under which procurement of 14 billion rupees has been done, training of 8 and a half thousand employees of procurement agencies has been completed and 10 thousand 545 suppliers have been trained. have been registered in the system. Referring to the privatization of government institutions and assets, the finance minister said that we have to make privatization a key priority, not only PIA, Roosevelt Hotel, Haas Building Finance Corporation and First Women Bank. They will speed up the ongoing privatization of institutions but are also going to start a concrete program to present other SOs (government-run enterprises) for investment in the private sector. He said that the privatization of PIA 12 companies had expressed interest and six companies were pre-qualified by the Board of Privatization Commission on June 3. Bids will be invited from investors in the first week of August 2024 after which the process will be finalized. He said that following international best practices, the government is outsourcing the major airports of the country, which will provide the best facilities to the passengers and also increase the revenue from the airports. Islamabad Airport will be outsourced first and then Karachi and Lahore Airports will be outsourced six months later. Federal Government has trillions in unfunded pension liability, pension costs are accelerating. Increasing from , there is a need to reduce the rate of increase in these costs. The government has formulated a three-pronged strategy for this, in which considerable consultation has been completed. The existing pension scheme will be reformed in line with international best practices, resulting in a reduction in the pension liability over the next three decades. Introducing a contributory pension scheme for new employees in which the government’s contribution will be paid every month will ensure that future employees’ pensions are fully funded from the start of their employment. A pension fund will be established to take over the pension liability. Muhammad Aurangzeb said that the Benazir Income Support Program is the cornerstone of our social security measures, the present coalition government is determined to provide more support to the weaker sections. More support should be provided, through the budget of FY 2024-2025, the BISP program will continue to support the weaker sections. 593 billion rupees. The current number of beneficiaries under the Kafalat program will be increased from 9.3 lakh to 1 crore. Cash transfers will also be increased to protect these families from the effects of inflation. An additional 1 million children will be enrolled in education scholarships, bringing the total number of scholarships to 1.4 million. The Nishunma program aims to prevent stunting during the first 1,000 days of a child’s life. 5 lakh more families will be included in this program during the next financial year. To promote economic inclusion and improve the economic conditions of the people, the government has launched Poverty Graduation and Skills Development for the first time under BISP. The program is going to be launched, apart from this, a plan to introduce a hybrid social protection program of financial independence through BISP is also being launched. He said that investment in human development is the best investment of the government. And the government intends to invest substantially in providing an environment for children’s education. Giving details in this regard, the finance minister said that money has been allocated to improve infrastructure and educational facilities in 167 government schools in Islamabad. It is recommended to do. While for the development of children, we are introducing School meal program under which students in 200 primary schools of Islamabad will be provided with balanced and nutritious meals. Sixteen (16) degree colleges of Islamabad, NUML, It will be transformed into high-result training institutes with the support of famous universities like NSU, NUST and COMSATS. Apart from this, pink buses will be introduced for the travel of students from rural to urban areas and Danish schools program in Islamabad. , Balochistan, Azad Jammu and Kashmir and Gilgit-Baltistan. He said that overseas Pakistanis are the backbone of our economic structure, so for the promotion of remittances sent by them. It is proposed to allocate 86.9 billion rupees in the budget, this money will be used for Re-imbursement of TT Charges, Sohni Dharti Scheme and other schemes. Mohsin Pakistan Award is being introduced for and so on
Other initiatives indicate the government’s commitment to support overseas Pakistanis and benefit from their contribution to national development. He said that keeping in view the importance of the export sector, the Export Refinance Scheme through EXIM Bank has been launched. It is proposed to increase the allocated amount from 3.8 billion to 13.8 billion rupees and these measures are expected to increase the portfolio from 100 to 280 billion rupees, while providing export credit of 539 billion rupees through the State Bank of Pakistan. The finance minister said that foreign investment is important for our balance of payments and for increasing the reputation of Pakistan. In this regard, discussions and efforts with brother and friendly countries are in the next phase. Prime Minister’s visit to China The aim was to launch the second phase of CPEC. In this phase of CPEC, Chinese companies will be given opportunities to invest in Pakistan through special economic zones and at the same time Pakistani companies will be able to do joint ventures with Chinese companies. Referring to the effects of climate change on the country, Senator Aurangzeb said that Pakistan is facing a serious threat of the effects of climate change and the government is working in this regard. The National Climate Finance Strategy will be prepared by October 2024. The purpose of which is to bring Global Commitment Finance to Pakistan, which will enable the implementation of projects to reduce carbon emissions in the country. Referring to the steps taken by the government to reduce environmental pollution, the Finance Minister said. He said that the government is allocating 4 billion rupees for e-bikes and 2 billion rupees for energy-saving fans. Presenting the important features of the budget for the fiscal year 2024-25, he said that for the next financial year The rate of economic growth is expected to be 3.6 percent where the average rate of inflation is expected to be 12 percent while the budget deficit is expected to be 6.9 percent of GDP and the primary surplus will be 1 percent of GDP. He said that the revenues of FBR The estimate is 12 thousand 970 billion rupees, which is 38% more than the current financial year, the share of provinces in federal revenues will be 7 thousand 468 billion rupees, the target of federal non-tax revenue will be 3 thousand 587 billion rupees. The net income of the government will be 9 thousand 119 billion rupees and the total expenditure is estimated to be 18 thousand 877 billion rupees, of which 9 thousand 775 billion rupees will be paid as interest. A budget of 1 thousand 400 billion rupees has been allocated for PSDP. 100 billion rupees have been allocated through public-private partnership and the overall development budget will be at the highest level in history, i.e. 1,500 billion rupees. He said that 2,122 billion rupees will be provided for defense needs. will be done and 839 billion rupees are being allocated for civil administration expenses. 1 thousand 14 billion rupees have been allocated for pension expenses, 1 thousand 363 billion rupees as subsidy for electricity, gas and other sectors. An amount of Rs. is being allocated. In the budget of the financial year, the total grants of Rs. Commission, railways, remittances and information technology sector have been earmarked for promotion. In the budget for the upcoming fiscal year 2023-24, a 25% increase in the salary of government employees in grades 1 to 16 has been proposed while An increase of 22 percent has been proposed for the employees from grades 17 to 22. Apart from this, a 22 percent increase has been proposed in the pension of the retired employees. Likewise, the minimum salary of the employees has been fixed at Rs. The proposal is also a part of the budget. In the finance bill, it is proposed to increase the levy on petroleum products to Rs. 20 per liter, and the levy limit has been proposed to be increased from Rs. The proposal is also a part of the budget. Regarding tax concessions and increases, it has been decided to give tax concessions on the import of equipment for the promotion of solar panel industry, including plant machinery and related equipment, solar panels, inverters and batteries. Includes raw material for manufacturing. Tax concession will be given on import of seeds and feed for fish and shrimp breeding. Income tax exemption given to Fata Pata is being extended by one year. Advance tax on car registration. The engine will be implemented on the basis of price rather than capacity.It has been decided to levy advance withholding tax on non-filer retailers and wholesalers.It is proposed to increase the advance withholding tax for non-filer retailers and wholesalers from 1% to 2.25%. According to the finance minister, it is proposed to maintain the annual income tax exemption limit of 6 lakh rupees for the salaried class, the maximum income tax rate for non-salaried persons has been increased to 45%, and the capital gain tax for filers has been reduced to 15% from July 1. Muhammad Aurangzeb said that different slabs for non-filers
Under the capital gain tax rate of 45%, there will be 3 different rates for filer, non-filer and late return submission. Federal Finance Minister said that 18% tax is proposed on mobile phones, 1281 billion on petroleum products in the next financial year. A levy of Rs. 20 per liter on petrol and diesel is proposed to be increased, per liter PDL can be Rs. 60 to 80 on petrol and diesel. During the next fiscal year, the provinces under NFC award 1777 billion rupees will be provided, the federal government expenditure for the next fiscal year is estimated at 839 billion rupees, 313 billion rupees have been allocated to deal with the emergency situation. The financial deficit for the next fiscal year is estimated to be 8500 billion rupees. To meet the financial deficit, 8500 billion rupees will be borrowed. To meet the financial deficit, the external financing is estimated at 666 billion rupees. The government health insurance scheme of journalists has been restored. The finance minister said that Shahbaz Sharif, when he assumed the office of the prime minister for the second time and after that, ordered the restoration of health insurance for journalists and media workers and the restoration of this scheme to journalists. Muhammad Aurangzeb said that in the first phase there will be health insurance for 5 thousand journalists and media workers across the country and in the second phase they will provide this basic right to health to 10 thousand journalists and media workers. The proposal of five billion will be given to farmers. After the presentation of the budget, the meeting of the National Assembly was adjourned till 5 pm on Thursday.