Islamabad: On the eve of the first year in office, the PML-N government has revived the controversial development schemes of parliamentarians, which could not take off in the first half of the current fiscal year (2024-25), despite More than RS460 billion of 460 billion short of income in the first seven months.
In an important movement, the Government doubled the size of these political schemes, the performance code of the sustainable development objectives of the code “(SAP), almost RS50bn from the assignment of RS25bn in the budget books 2024-25.
He also rejected the demand of the PPP coalition partner to carry out around RS30 billion in unbounded funds of the last fiscal year.
The Government also relaxed already notified principles for the Public Sector Development Program (PSDP) to ensure rapid disbursements to satisfy parliamentarians associated with the government. This adds to the increase of approximately 300 percent in the salaries of the parliamentarians allowed last week.
The Government has also decided that since the Pak Public Works Department (PWD) that used to implement most of these schemes had been abolished, the task should be granted to the Pakistan LTD Infrastructure Development Company (PIDCL) of the Ministry of the Ministry Housing
The allocation to the RS50B SDG achievements program doubled; The PPP application for the reinvestment of the unbasted funds decreased
At a Recent Meeting, The Steering Committee On SAP, LED by Deputy Prime Minister Ishaq Dar, was reported that chairman Senate Yousaf Reza Gilani and Deputy Speaker National Assembly Ghulam Mustaf 2023-24.
It can be remembered that the then PML-N government had assigned RS91BN in the fiscal year 2023-24 for the scheme of the parliamentarians and approved to disburse around RS61BN before it was replaced by the government of the caregiver who put a freezing in Such political schemes.
As a result, around RS57B could be used at the end of the fiscal year. The two PPP Constitutional Offices holders wanted those unbasted funds of RS34BN to be used this year.
Mr. Dar, however, explained that the 2019 Public Finance Management Law did not allow such a realization of delayed funds from previous years, therefore, the Committee feels limited to accepting the proposals, according to the Registry Officer seen by Sunrise.
SDGS achievement program
However, the Minister of Planning, Ahsan Iqbal, told the meeting that the Government had assigned to RS50BN for the SAP for the FY24-25 under PSDP.
However, the PSDP available on the official website of the Ministry implies an assignment of RS25bn for SAP without the approval of the respective schemes.
According to the Planning Minister’s statement, all members of the Steering Committee unanimously agreed that SAP funds can be released to the respective federal ministries/divisions and provincial governments.
The Committee approved the release of RS48.37BN for the execution of SAP schemes after the authorization for the release of the Ministry of Planning and Relaxation of the quarterly release strategy of the Finance Division.
The committee included 27 members, including a total of 16 parliamentarians, seven federal secretaries and four provincial representatives.
The parliamentarians included seven members of the funny cabinet and nine MNA, including Raja Pervez Ashraf, Shazia Marri, Sardar Yousaf Zaman, Riazul Haq, Javed Hanif Khan, Khalid Magsi, Ijazul Haq and Tariq Fazal Chaudhry.
Of the total RS48.37bn, RS28.87BN were approved by parliamentarians based in Punjab, followed by RS15.25bn for Sindh, RS2.25bn for Baluchistan, RS1.25bn for Khyber Pakhtunkhwa and RS750 million for Islamabad.
The sources said that on RS40BN it has been authorized by the Disbursement Planning Commission.
It should be noted that until now the government has maintained a tight lid in the central development program under which only RS148BN could be used in the first half of the fiscal year against a budget allocation of RS1.1 billion, which represents 10.45pc.
This use is even lower, both in absolute and percentage terms, than in the same period last year when a caregiver was in its place. The use of six months had risen to RS150 billion last year, which represents 16PC of annual assignment of RS940bn.
Despite the relatively greater expense, PSDP’s expense could not go beyond RS635BN by the end of the year and almost a third of the budget allocation was used for deficit financing. If that is an indication, it is unlikely that the development program even crossing RS600BN this year.
According to the mechanism announced by the Ministry of Finance for the current fiscal year, the government should release 15PC from the allocation budgeted in the first quarter, followed by 20pc in the second quarter, 25pc in the third quarter and 40 percent remaining in the last quarter of the fiscal year.
As such, the estimated release for PSDP at the end of December must be at least 35pc of annual allocation or not less than RS385bn, almost three times real expense in six months.
Posted in Dawn, February 3, 2025