Budget in Brief 2010-2021

Saad Sheikh

Saad Sheikh

Founder
Staff member
4,771
13,808
456
Minster for Industries Hammad Azhar presented on Friday the federal budget for the fiscal year 2020 -21— referred to as the ‘corona-budget’ by Adviser to the Prime Minister on Finance and Revenue Dr Abdul Hafeez Shaikh a day earlier while unveiling the economic survey for fiscal 2019-20.

Among the major figures he revealed on the floor of the National Assembly, the Federal Board of Revenue (FBR) tax target was kept at Rs4.95 trillion for next year while defence allocations amounted to around Rs1.3 trillion. The federal development programme was budgeted at Rs650 billion to support growth prospects.

Read & download the complete Budget FY2021 here.

Budget in Brief 2010-2021


Presenting details of the new budget, the minister emphasised that "no new tax was introduced in this budget". He said the need of the hour was an expansionary fiscal policy which the government was implementing.

Total expenditure

He said the total size of the budget or the total expenditure budget for the next year stood at Rs7,136 billion — slightly higher than the budgeted figure for the previous year.




Current expenditure

Of this total, current expenditure for the next fiscal year was budgeted at Rs6,345 billion, up from the Rs6,193b budgeted last year, Azhar said. Of this, Defence Affairs make up Rs1,289 billion, up 11pc from the previous year, with interest payments making up Rs2,946 billion.




Allocations for education have been budgeted at Rs83.3 billion, up 7.9pc from last year's Rs77.2 billion. Health allocations for the next year have more than doubled (130pc rise) to Rs25.5 billion from last year's Rs11 billion. During his speech, Azhar explained that the funds would be used to improve health services and digitise the framework.

PSDP

Hammad Azhar revealed that the total expenditure for Public Sector Development Programme (PSDP) for the next fiscal year had been budgeted at Rs1,324 billion, which is 18pc below last year's budget.

Of this, federal PSDP has been allocated Rs650 billion, while Rs676 billion has been allocated to provinces.




Fiscal deficit

The fiscal deficit, he said, would be 7pc of the GDP and has been budgeted at Rs3,195 billion for FY2021. The minister lamented that the deficit had been increased manifold during regimes of the previous governments but said this government will try to keep it in check.




Growth rate

Azhar said the government will pull out the economy from a 0.4pc contraction and is aiming for a 2.1pc growth in GDP for fiscal year 2021.




Inflation

Consumer Price Index (CPI) inflation for fiscal year 2021 has been budgeted at 6.5pc, down from a projection of 13pc last year.




Total revenue

Total revenue, he said is budgeted at Rs6,573 billion, of which net federal revenue will be Rs3,700 billion.




FBR tax revenue

Azhar went on to reveal that FBR tax collection has been budgeted at Rs4,963 billion, which is lower than last year's original budgeted amount of Rs5,555 billion. The minister stressed during his speech that the government wants this to be a "relief budget" due to the crises brought on by the pandemic and the government is imposing no new taxes for the new year.

 
Saad Sheikh

Saad Sheikh

Founder
Staff member
4,771
13,808
456
Read more on Budget 2020
 

Create an account or login to comment

You must be a member in order to leave a comment

Create account

Create an account on our community. It's easy!

Log in

Already have an account? Log in here.

Similar threads

intelligent086
Replies
5
Views
73
intelligent086
intelligent086
intelligent086
    • Like
  • intelligent086
  • 15
  • 101
2
Replies
15
Views
101
intelligent086
intelligent086
Veer
Replies
0
Views
83
Veer
Veer
Replies
0
Views
62
Veer
Top
AdBlock Detected
Your browser is blocking advertisements. We're strongly asking to disable ad blocker while you're browsing in Pakistan.web.pk. You may not be aware but any visitor supports our site by just viewing and visiting ads.

آپ کے ویب براؤزر میں ایڈ بلاکر انسٹال ہے، مہربانی کرکے اسے پاکستان ویب پر ڈس ایبل رکھیں ۔ شاید آپ کو معلوم نہ ہو مگر سپانسر اشتہارات کو دیکھ کر ہی آپ پاکستان ویب کو سپورٹ کرتے ہیں۔ سپانسر اشتہارات سے ویب سائٹ کے اخراجات ادا کرنے میں تھوڑی سی ہی سہی مگر مدد ملتی ہے، اس لئے ابھی اپنے براؤزر کی آپشنز میں جاکر ایڈ بلاکر بند کر دیں، شکریہ

I've Disabled AdBlock    No Thanks