President Asif Ali Zardari has nodded the Finance Law of 2025, which describes the budget for the next fiscal year with a disbursement of RS17.57 billion, emerged on Monday.
According to a notification of the Gazette dated June 29, available with Dawn.comThe 2025 Finance Law, approved by the National Assembly, received the assent from the President on June 27. The law will be applicable as of July 1, according to the Ministry of Information.
The Minister of Finance, Muhammad Aurengzeb, presented the annual federal budget of Pakistan in a session of the National Assembly of June 10, which describes ambitious proposals to boost economic growth of 4.2 percent in the next fiscal year while reducing general expenditure and adjustment tax measures.
The National Assembly approved the Federal Budget for the next fiscal year on June 26, with a disbursement of RS17.57TR, despite the opposition calls to the budgetary proposals become public and that the approval is delayed until public contribution has been sought.
The Chamber approved it with certain amendments, incorporating around half of the suggestions presented by the finance committees of both Chambers of Parliament. All amendments proposed by the opposition were rejected.
Budget 2025-26
The federal budget for next fiscal year projects an economic growth rate of 4.2pc and an inflation rate of 7.5pc. Net income receipts have been estimated at RS11.07TR, with the FBR collections that will increase by 18.7pc to RS14.13tr. Income without taxes are estimated at RS5.15tr.
Key allocations include RS2.55TR for defense, RS1.06TR for pension and RS1.19TR expenses for electricity subsidies and other sectors. Relief measures in the budget include a 10 percent increase in salaries, 7pc in pensions and fiscal deduction for wage class in all income supports.
The budget also includes RS716bn for BISP and RS1TR for the Public Sector Development Program (PSDP), in which the largest assignment of RS328B is aimed at transport infrastructure projects.
The PSDP for the next fiscal year has aligned with the objectives of Uraan Pakistan, prioritizing high -impact projects and foreign financing and new initiatives of national importance.
Key infrastructure projects such as Diamer Bhasha, Mohmand Dam and K-IV have been assigned RS32.7bn, RS35.7bn and RS3.2bn, respectively. In addition, RS10BN has been assigned for the coating of the Baghar Kalri and RS4.4bn feeder to install a telemetry system in the Indo basin system.
The Higher Education Commission has been assigned RS39.5bn for 170 projects. In addition, RS18.5bn has been assigned in the PSDP for various educational initiatives.
The agricultural sector will receive RS4BN for 10 schemes in progress and five new ones. The budget also includes incentives for the construction industry, such as a reduction in retention of tax purchases.
