Though late, National Planning Commission (NPC) has fixed the budget ceiling of Rs 596 billion for the next fiscal year.
The total annual budget outlay proposed for the next fiscal is around Rs 79 billion more than the current fiscal years’ budget of Rs 517.24 billion.
The tradition has it that the budget ceiling is fixed according to the multi-year budget planning by mid-January by the Resource Committee of the National Planning Commission every year. But delay in the government formation has belated the planning commission’s regular task.
The newly appointed finance minister is planning to bring the budget for the next fiscal year one month ahead than the regular schedule to expedite the capital expenditure that has seen a slow progress in recent years.
The Commission has capped the next fiscal year’s recurrent budget – that is spent on salaries and daily administrative expenses – at Rs 394.37 billion, which is 11.59 per cent more than the current fiscal year’s recurrent expenditure of Rs 353.42 billion.
Similarly, the capital budget that is spent on development works – has been fixed at Rs 97.64 billion, some Rs 12.54 billion more than the current fiscal year’s Rs 85.10 billion, whereas under financing provisions – for debt servicing and lendings to state utilities – the budget has been fixed at Rs 103.91 billion against current fiscal year’s Rs 78.72 billion.
Education Ministry has been proposed Rs 85 billion – almost equal to the current fiscal year’s capital budget – the largest budget for a single ministry, for the next fiscal year followed by Ministry of Local Development with Rs 50 billion, Home Ministry with Rs 49 billion, and Ministry of Physical Planning and Works with Rs 40 billion.
Likewise, the proposed budget for next fiscal year for Defence Ministry stands at Rs 30 billion – some Rs 3 billion more than the current fiscal year’s Rs 27 billion, Ministry of Energy will get by Rs 2 billion more from the current fiscal year’s budget to Rs 30 billion.
The planning commission has also raised revenue mobilisation target by 23 percent to Rs 424 billion, whereas Rs 124 billion has been planned to get from foreign assistance, and some Rs 48 billion will be met through internal borrowings.
PROPOSED ANNUAL BUDGET
Major ministries – Ceiling for the fiscal year 2014-15
Ministry of Education – Rs 85 billion
Federal Affairs and Local Development Ministry – Rs 50 billion
Ministry of Home – Rs 39 billion
Ministry of Physical Infrastructure & Transport – Rs 40 billion
Ministry of Health and Population – Rs 33 billion
Ministry of Energy – Rs 30 billion
Ministry of Defense – Rs 30 billion
Ministry of Irrigation – Rs 14 billion
Ministry of Forestry – Rs 9.37 billion
Ministry of Agriculture – Rs 22.5 billion
Ministry of Cooperatives and Poverty Alleviation – Rs 23 billion
Ministry of Irrigation – Rs 14.22 billion
Ministry of Finance – Rs 10.97 billion
Ministry of Forests and Soil Conservation – Rs 9.3 billion