The present parliament's tenure will end in mid-August, with elections scheduled for early October. The present parliament's tenure will end in mid-August, with elections scheduled for early October. The present parliament's tenure will end in mid-August, with elections scheduled for early October. The Pakistan government has approved a 31 per cent increase in the federal development budget to PKR 950 billion for the fiscal year 2023-24. The decision was taken at a meeting of the Federal Cabinet chaired by Prime Minister Shehbaz Sharif on Tuesday.
The increase in the development budget is aimed at boosting economic growth and creating jobs. The government has also set a target of 6 per cent GDP growth for the next fiscal year.
According to a report by Express Tribune newspaper, the decision to increase the Public Sector Development Programme (PSDP) from the earlier proposed Rs 700 billion to Rs 950 billion was taken by Prime Minister Sharif, minutes before the scheduled meeting of the Annual Plan Coordination Committee (APCC) on Friday.
The report further said that the confusion arose because the Ministry of Planning had disseminated the APCC working paper to all stakeholders based on the Rs 700 billion PSDP size.
The APCC recommended a total national development outlay of Rs 2.5 trillion for spending by the federal government and the four provinces.
The Rs 2.5 trillion allocation was Rs 90 billion, or 4 per cent, more than the current fiscal year, which ends on June 30.
The APCC also approved a 3.5 per cent GDP growth objective for the fiscal year 2023-24, with sectoral growth of 3.5 per cent in agriculture, 3.4 per cent in industries, and 3.6 per cent in services. The inflation target for the coming fiscal year is set at 21 per cent.
The APCC approved Rs 950 billion for the federal development budget, a Rs 223 billion or 31 per cent increase above the previous allocation for this year.
The budget for 2023-24 is likely to be presented to parliament on June 9 and voted on before the end of June, following a discussion.
The present parliament's tenure will end in mid-August, with elections scheduled for early October.
According to the report, the parliament may extend its term by one year under extraordinary circumstances, as specified by the Constitution, but the size of the PSDP indicates that the government is entering election mode.