Friday, May 26, 2017
By
Ashraf Malkham
|
Asif Bhatti

PM chairs cabinet, PML-N parliamentary party meetings

By
Ashraf Malkham
|
Asif Bhatti
|

ISLAMABAD: Prime Minister Nawaz Sharif said on Friday that it is for the first time in the country’s history that the development budget has crossed the Rs1 trillion mark. 

He was addressing the parliamentary meeting of the Pakistan Muslim League-Nawaz (PML-N) at the PM Office. 

The premier said people are watching who is working and who is sitting idle, adding that "the country has been connected through a web of motorways and highways.”  

Sharif said the security situation in the country has improved, and assured the public of providing them affordable electricity. He stated further that soon 3,600 megawatts of electricity will be added to the national grid. 

The meeting of the PML-N's parliamentary party began on Friday morning under the chair of the premier. 

Sources said the upcoming fiscal year’s budget as well as development projects came under discussion at the meeting.

Before its presentation in the assembly, the budget was also presented in a special meeting of the federal cabinet. 

The cabinet discussed the salient features of the budget, along with other items present in its 12-point agenda. 

The expected raise in salaries of government employees was also expected to be discussed in the meeting.

The federal budget and tax recommendations were approved in the cabinet meeting.

“It is our top priority to make the life of the average person better,” said the premier while chairing the meeting.

He also ordered for the timely and transparent completion of all new and ongoing development schemes. 

The budget for fiscal year 2017-18 will be around Rs4,778 billion, with Rs1,001 billion earmarked for development projects, sources informed.

Sources said Rs385 billion have been earmarked for 203 power projects while Rs323 billion have been set aside for construction of roads, highways and motorways.

With an increase of 10%, the defence budget is expected to reach Rs950 billion whereas Rs90 billion is expected to be allocated for rehabilitation, etc. of the temporary displaced persons from conflict areas.

An amount of Rs230 billion will likely go for grants and subsidies while Rs1,401 billion will be used for repayment of interest on government loans. Foreign loans’ repayment will see an allocation of Rs251 billion, sources informed.

Regarding taxes, the tax collection target of the Federal Board of Revenue will likely be set at Rs3,900 billion.

Those operating businesses outside the tax net are likely to be taxed Rs40 billion in total.

Moreover, in order to control imports, a 5% hike in import duties is expected. 

Sources also informed that the 'super tax' on the wealthy and taxes on petroleum products are also expected to continue into the next fiscal year, along with the withholding tax (WHT) on banking transactions. 

A WHT is also expected on mobile phone companies’ profits .