ISLAMABAD: National Assembly (NA) approved budget for upcoming fiscal 2023-24 as Pakistan tries to secure crucial International Monetary Fund (IMF) in final effort to clinch much-delayed rescue package.

Under Finance Bill 2023-24, which was approved with majority vote, tax collection target has increased from Rs 9,200 billion to Rs 9,415 billion and pension payment increased from Rs 761 billion to Rs 801 billion.

Moreover, under National Finance Commission (NFC), instead of Rs 5,276 billion, Rs 5,390 billion will be received. Rs215 billion new taxes are also imposed under Finance Bill’s further amendment and Benazir Income Support Programme budget has been increased from Rs 450 billion to Rs 466 billion. Development budget is allocated at Rs 950 billion. Total of nine amendments were introduced in Finance Bill 2023-24- eight of government while one of opposition and all were approved. Finance Minister Ishaq Dar presented an amendment to Petroleum Development Levy Ordinance which was approved by House with majority vote. In amendment, petroleum development levy limit was increased from Rs 50 per litre to Rs 60 per litre. Opposition member Maulana Abdul Akbar Chitrali’s amendment, authorising chairman standing committee to use 1200 cc vehicle was also accepted. Government did not oppose opposition member’s amendment.

Except for Chitrali, sole member of Jamaat-e-Islami in NA, all government and opposition members opposed taking opinion of Islamic Ideological Council on Finance Bill due to inclusion of interest.  Dar said that country has massive burden of pensions, adding that cost has reached Rs 800 billion. He maintained that pension-related reforms are being attempted and that pension cash accounting will become unsustainable in future.

Published in The Daily National Courier, June, 26 2023

Like Business on Facebook, follow @DailyNCourier on Twitter to stay informed and join in the conversation.