Tag: education budget

  • Punjab increases govt employees’ pay by 30%, pensioners above 80 to receive 20% raise

    Punjab increases govt employees’ pay by 30%, pensioners above 80 to receive 20% raise

    In a significant development, the interim Punjab cabinet, headed by caretaker Chief Minister Mohsin Naqvi, has approved the provincial budget for the initial four months of the fiscal year 2023-24. The cabinet meeting, held on Monday, saw the endorsement of several key measures aimed at providing relief to the people and promoting various sectors of the economy.

    One of the major highlights of the budget is a 30 per cent increase in salaries for government employees, which will be implemented as an ad hoc relief. This decision is expected to bring significant relief to public servants who have been facing the brunt of rising costs of living. Additionally, pensioners above the age of 80 will receive a 20 per cent increase in their pensions, acknowledging their valuable contributions to society.

    The Punjab cabinet has also taken a bold step to stimulate business growth in the information technology and education sectors. By withdrawing all duties and taxes, the provincial government aims to create a favorable environment for these industries, fostering innovation and progress. An allocation of Rs70 billion has been set aside to provide relief to the people over the course of the first four months of the fiscal year.

    Addressing concerns related to the construction sector, the cabinet rejected a recommendation to increase stamp duty by up to 3 per cent. Instead, it approved fixing the stamp duty ratio at 1 per cent, thereby promoting the growth of the construction industry and encouraging investment in the sector.

    Recognizing the importance of agriculture, the cabinet allocated over Rs47 billion to support and enhance the sector. This move demonstrates the government’s commitment to bolstering the agricultural industry, which plays a crucial role in the province’s economy and livelihoods of the rural population.

    Furthermore, the interim setup has pledged to complete 50 per cent of ongoing development projects within the first four months of the new fiscal year. This ambitious target showcases the government’s determination to prioritise infrastructure development and provide better facilities for the citizens.

    The cabinet’s focus on critical sectors also extends to education and healthcare. An increase of up to 31 per cent in the budget allocation for education and health has been approved for the initial four months of the fiscal year. This decision reflects the government’s commitment to improving access to quality education and healthcare services across Punjab.

    The cabinet’s proactive approach toward promoting technological advancements is evident through the approval to establish an information technology park within the Lahore Knowledge Park. This venture aims to create a hub for technology-driven innovation and attract investment to the region.

    In a noteworthy move, the cabinet also approved the establishment of an endowment fund worth Rs1 billion for journalists. This step recognises the vital role played by journalists in society and aims to support and encourage their professional growth.

    Chief Minister Mohsin Naqvi emphasised that the Punjab budget does not impose any new taxes on the people, providing further relief to the general public. He commended the chief secretary, Planning and Development Board chairman, Punjab finance secretary, and their teams for their diligent efforts in presenting a people-friendly budget.

    The cabinet meeting was attended by provincial ministers, advisors, and secretaries of relevant departments, signaling a collaborative approach to decision-making and ensuring the inclusivity of various stakeholders.

    With the interim Punjab cabinet’s approval of this budget, the province is poised to embark on a path of economic growth, development, and improved quality of life for its citizens.

  • Rs93bn on education, Rs25bn on health, Rs1,289bn on defence: How govt is spending in ‘Naya Pakistan’

    Rs93bn on education, Rs25bn on health, Rs1,289bn on defence: How govt is spending in ‘Naya Pakistan’

    Public sector universities are facing a financial crunch due to budget cuts and the coronavirus pandemic. Despite tall claims, the Pakistan Tehreek-e-Insaf (PTI) government didn’t allocate much for the higher education and the budget for the Higher Education Commission (HEC) remains nominal.

    Pakistan has at least 135 public-sector higher education institutions that cater to at least 1.8 million students, says a report in The News. But how much the country spends on its education? Not a lot when compared to other expenditures, such as defence and development.

    Education:

    The government had allocated Rs93 billion — Rs29.4bn is development budget — for the HEC for 2020-21 for development and non-development expenditures in the education sector. The HEC, however, had asked the government for a budget of Rs104bn, reported Dawn at the time.

    The decision to keep the education budget static amid a pandemic has proved expensive, as a number of universities are struggling to make ends meet. According to The News, the University of Engineering and Technology (UET) Lahore, the University of Peshawar, Shah Abdul Latif University Khairpur, Quaid-e-Azam University (QAU) Islamabad and others are facing issues regarding finances.

    Health:

    Pakistan is one of the countries that do not spend a lot on health. In 2019-20, the federal government had budgeted Rs11 billion for the current expenditure on health, reported Express Tribune. However, the government funneled Rs1bn more into the budget to counter the coronavirus threat. In the current financial year, Pakistan more than doubled the health budget to Rs25.5 billion due to COVID-19.

    However, the decision was still criticised as the country’s healthcare needed more than that to battle the deadly pandemic.

    Defence:

    The government spends a major chunk of its money on defence-related expenditures. In financial year 20-21, the allocations to the defence sector saw an 11 per cent increase from the previous year. Rs1,289 billion was allocated to the military.

    According to Ayesha Siddiqa, the author of Military Inc., “major acquisitions by the armed forces, spending on the public sector development programme (PSDP), expenditure on the nuclear programme and para-military forces, payments for military pensions, a newly set-up national security division and a few other military expenditures are not reflected in the budget. If these were to be added to it, Pakistan’s defence spending would be even higher — at around $11bn”.

     Development budget:

    Due to the COVID-19 pandemic and a lull in economic activity, the government could increase its public-sector development spending. It had been budgeted at Rs1,324bn, 18pc below than last year’s budget.

    Of this, federal PSDP had been allocated Rs650 billion, while Rs676 billion had been allocated to provinces, as per Dawn.