PML-N presents its last Tax free budget in Punjab Assembly

Lahore : Tax free budget of Punjab province for the year 2017-18 was presented in Punjab Assembly.

Rate of sales tax on construction services is being decreased from 16 percent to 5 percent. Decision has been made to abolish every kind of registration fee for new business firms. Investment bonds of Rs. 25 billion will be issued during next financial year.

There is a proposal of 10 percent increase in salaries of government employees after merging adhoc allowance 2010 as well as 10 percent increase in pension.

It has been decided to fix minimum salary of labourer at Rs. 15000 while compensation for daily wages workers will also be not less than Rs. 15000.

Pay Commission will be set up to review salaries and allowances of government servants which will present proposals regarding salaries and allowances for next budget.

Provincial Minister for Finance, Dr. Ayesha Ghaus Pasha during her speech in Punjab Assembly informed about salient features of provincial budget for the year 2017-18.

She told that total volume of provincial budget is Rs. 1970.70 billion which is the biggest budget in the history of Punjab. She said that after increase of 29.5 percent in development budget as compared to the last budget its volume has reached to a record limit of Rs. 635 billion.

She said that 21 percent of the budget has been allocated for education sector and Rs. 343.4 have been earmarked for education sector while the budget for ongoing expenditure is up to Rs. 1020.8 billion.

She said that Rs. 1017 billion which is 59 percent of the total budget has been allocated for education, health, agriculture, law and order and local- governments. She said that under PFC Award, 44 percent of divisible revenue has been allocated for local governments.

She said that there is estimate of Rs. 1502 billion under the head of general revenue receipts in next financial year. Income of Rs. 1154.18 billion is expected from federation while estimate of Rs. 348.30 billion has been made under the head of provincial revenue. Punjab government expects Rs. 230.98 billion under the head of tax while Rs. 117 billion under the head of nontax revenue. Rs. 258 billion for salaries and Rs. 173 billion for pension have been allocated in the budget. Rs. 361 billion for local governments while Rs. 228.10 billion have been allocated for service delivery expenditure.

As many as Rs. 201.63 billion have been allocated for education, health, water supply, sanitation, women development and social welfare sectors and overall 32 percent of development budget has been allocated for social sector. Provincial Minister said that more than 33 billion rupees are being earmarked for education sector in the next budget as compared to current fiscal year.

There is proposal of allocating an overall Rs. 345 billion for education sector. Rs. 53.36 billion will be allocated for school education. Rs. 230 billion will be given to District Education Authority. Additional recourses of 36.6 percent are being provided to district education authorities in next fiscal year.

Under non-salary budget program, there is proposal of allocating Rs. 14 billion for daily needs of schools, Rs. 6.5 billion for Zaiver-e-Taleem Program, Rs. 3.5 billion for the provision of free text books and Rs. 6.5 billion for Khadim-e-Punjab School Program. Four billion rupees are being allocated for the rehabilitation of dilapidated buildings of 1200 schools while two billion rupees will be earmarked for providing necessary facilities.

The budget of innovative program of imparting education on government expenditure is being made to Rs. 16 billion. She said that Education Initiative Management Authority will be set up in Punjab for which there is suggestion of allocating seven billion rupees. Five billion rupees are being allocated for Punjab Education Endowment Fund in next financial year.

She said that three billion rupees are being allocated for construction of four Danish Schools at Taunsa and Mankera, launching of classes in Mailsi and up gradation of other Danish Schools and center of excellence.

She said that Rs. 44.60 billion have been allocated for higher education in next year’s budget. Funds of more than 16 billion rupees will be provided for higher education development program including construction of buildings of 50 new degree colleges, teachers’ academy and three new universities. Seven billion rupees have been allocated for fourth phase of laptop schemes. Rs. 80 crore will be given under Shahbaz Sharif Merit Scholarship and scholarships of Rs. 70 crore under Chief Minister Language Program for higher education in the prestigious universities of the world.

The Minister said that Rs. 263.22 billion are being allocated for public health during next fiscal year which is 15.4 percent of total budget. She said that Rs. 112 billion are being allocated for Primary and Secondary Healthcare while Rs. 73.5 billion for District Health Authority. She said that Rs. 120 billion will be allocated for specialized healthcare and medical education while Rs. 25.36 billion will be earmarked for development schemes of any department.

There is suggestion for allocating Rs. 25 billion for Punjab Saaf Pani Project while project of installation of hand pumps will be launched at a cost of Rs. 30 crore throughout the province. An amount of Rs. 140.50 has been allocated for agriculture, irrigation, livestock, forests, fisheries and food departments while Rs. 15 billion have been earmarked for the rehabilitation and development of industrial sector.

She said that 4 billion rupees have been allocated for Quaid-e-Azam Apparel Park, two billion rupees Chief Minister’s Self Emplacement Scheme while Rs. 198 billion for public peace and justice.

There is a proposal of allocating Rs. 90.64 billion for road sector in the budget of next financial year which will be utilized for the construction of Khaniwal, Jahanian, Lodharan dual road and a bridge on Chowk Metla. She informed that 8.5 billion rupees are being allocated for sports and youth affairs while there is plan of Rs. 35 billion for the provision of vehicles to 50000 jobless youth under Apna Rozgar Scheme while five billion rupees have been allocated for Regional Development Program for completing development projects in far flung districts.

One billion 16 crore rupees have been allocated for the welfare of minorities community, she added.

Provincial Minister for Finance Dr. Ayesha Ghaus Pasha told that the volume of economy of Pakistan has increased from 300 billion dollars. She said that growth rate of economy during current year is 5.28 percent while per capita income has increased from 1531 dollar to 1629 dollar.

She said that a number of energy projects have started production of electricity under CPEC in Punjab. She told that Rs. 220 billion have been saved for various projects in Punjab.