Surplus budgets
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The restive provinces of Khyber-Pakhtunkhwa and Balochistan have endeavoured to post budget surplus to the tune of Rs157 billion and Rs36.5 billion, respectively, as they went on to project massive developmental outlays for FY26. Khyber-Pakhtunkhwa led from the front as it came up with categorical statistics in a budget of Rs2119 billion, allocating Rs363 billion for education and Rs276 billion for health; raising the minimum wage to Rs40,000 per month (a step that the federal budget fell short of); and increasing salaries by 10% and pensions by 7%.
Likewise, the law and order-infected province has kept Rs158 billion for local security edifice (while expecting Rs1,147 billion in federal transfers) and allocating a generous Rs547 billion under Annual Development Programme, including Rs40 billion for the merged districts. The PTI-governed province has, however, complained that Islamabad has deducted Rs42 billion under the NFC Award.
Balochistan with a record outlay of Rs1.03 trillion has vowed to go on a development spree with an allocation of Rs349.5 billion. The provincial finance guru surprised all by claiming that the province has fully utilised the outgoing year's developmental budget of Rs219 billion — something that is contestable given the abject backwardness and revulsion all around.
The province's total receipts are projected at Rs801 billion, both from federal and straight transfers, as it goes on to generate Rs101 billion indigenously (including Rs48 billion from levy on services), apart from Rs104.5 billion from federal and foreign assistance for development.
Surprisingly though, there is no clear mention of allocations for health, education and law and order, whereas the troublesome province has come up with special funds of: Rs18 billion for eight more safe cities; Rs25 billion for Mashkel dam construction; Rs20 billion for public welfare; and Rs3 billion for sanitation schemes and 1,000 water filtration plants.
Last but not least, a first-of-its-kind climate grant of Rs500 million will be a litmus test as drought and floods repeatedly take a toll on the desolate province.
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Express Tribune
4 days ago
- Express Tribune
Surplus budgets
Listen to article The restive provinces of Khyber-Pakhtunkhwa and Balochistan have endeavoured to post budget surplus to the tune of Rs157 billion and Rs36.5 billion, respectively, as they went on to project massive developmental outlays for FY26. Khyber-Pakhtunkhwa led from the front as it came up with categorical statistics in a budget of Rs2119 billion, allocating Rs363 billion for education and Rs276 billion for health; raising the minimum wage to Rs40,000 per month (a step that the federal budget fell short of); and increasing salaries by 10% and pensions by 7%. Likewise, the law and order-infected province has kept Rs158 billion for local security edifice (while expecting Rs1,147 billion in federal transfers) and allocating a generous Rs547 billion under Annual Development Programme, including Rs40 billion for the merged districts. The PTI-governed province has, however, complained that Islamabad has deducted Rs42 billion under the NFC Award. Balochistan with a record outlay of Rs1.03 trillion has vowed to go on a development spree with an allocation of Rs349.5 billion. The provincial finance guru surprised all by claiming that the province has fully utilised the outgoing year's developmental budget of Rs219 billion — something that is contestable given the abject backwardness and revulsion all around. The province's total receipts are projected at Rs801 billion, both from federal and straight transfers, as it goes on to generate Rs101 billion indigenously (including Rs48 billion from levy on services), apart from Rs104.5 billion from federal and foreign assistance for development. Surprisingly though, there is no clear mention of allocations for health, education and law and order, whereas the troublesome province has come up with special funds of: Rs18 billion for eight more safe cities; Rs25 billion for Mashkel dam construction; Rs20 billion for public welfare; and Rs3 billion for sanitation schemes and 1,000 water filtration plants. Last but not least, a first-of-its-kind climate grant of Rs500 million will be a litmus test as drought and floods repeatedly take a toll on the desolate province.
Express Tribune
5 days ago
- Express Tribune
Excise misses tax target by 52 per cent
The Excise, Taxation, and Narcotics Control Department has failed to meet its property tax and professional tax collection targets for the fiscal year 2024-25 across the Rawalpindi Region as the department has only achieved 48% of its target, falling short by a significant 52%. In contrast, the Motor Branch of the department successfully met its targets in the categories of new vehicle and motorcycle registrations, transfer fees, and token taxes, achieving a remarkable 150% of its revenue target in those areas. Total revenue collection for the Rawalpindi region stood at Rs680 million. Due to the department's complete failure in collecting domestic and commercial property taxes, professional taxes, and luxury taxes, the Director General of Excise has ordered the cancellation of weekly Sunday holidays. Starting this Sunday and continuing until the beginning of the new fiscal year, Excise offices will remain open on Sundays to boost revenue recovery. In a controversial move to increase tax collection, the department has started issuing revised property tax bills by changing the names on previously taxed residential units. One such case involves Advocate Najma Malik, who reported that despite paying Rs150,000 in property tax under her name, a new notice of Rs157,000 was issued under her husband's name, based on signage outside the house. She has challenged the new notice with the previous tax receipt. As part of its ongoing crackdown on defaulters, the department has sealed 241 property units and recovered Rs3.1m in overdue taxes. Excise Inspectors have been directed to leave their offices and collect taxes directly in the field. However, with only 12 days remaining before the end of the fiscal year, achieving the collection targets for property tax, luxury tax, and professional tax seems increasingly unlikely, leaving the department far from meeting its financial goals.
Express Tribune
14-06-2025
- Express Tribune
Centre agrees to resolve 'financial matters'
Khyber-Pakhtunkhwa Finance Advisor Muzammil Aslam has announced that the federal government is now willing to recognize the province's rightful shares in net hydel profit, National Finance Commission Award (NFC Award), royalties, and other revenue heads. A meeting for the 11th National Finance Commission (NFC) has been scheduled for August, and the Center has also agreed to resolve outstanding financial matters concerning the merged tribal districts, which are administratively integrated but still face economic challenges. Addressing a post-budget press conference in Peshawar on Saturday, Aslam revealed that K-P has presented its largest-ever budget, amounting to Rs2,119 billion. He noted that the province is on track to generate Rs93 billion from its own resources. "Whether the federation provides funds or not, we are committed to spending on the tribal areas from our own treasury," he declared. Aslam emphasized a shift away from reliance on federal support, announcing plans to construct the Peshawar-DI Khan Motorway independently. He defended the provincial government's economic performance, recalling criticism when the current administration took office last year amid concerns of an empty treasury. "Today, we have presented a Rs157 billion surplus budget," he said, highlighting timely salary payments and increases of 10 per cent in salaries and seven per cent in pensions for government employees in the new fiscal year. The minimum wage has also been raised to Rs40,000. Aslam contrasted K-P's development budget of Rs547 billion with the federal government's Rs1 trillion-plus allocation, pointing out that despite being a smaller province, K-P has managed substantial development spending. He acknowledged that while the province remains under debt — currently at Rs680 billion — loan repayments have been made and a dedicated repayment fund established. He clarified that any current inflows under debt are part of previously agreed contracts, and there are no plans for new borrowing unless required for a major project. Criticizing the center for sidelining K-P, he stated that only Rs550 million have been allocated to the province this year. "Despite minimal federal cooperation and receiving Rs90 billion less under NFC allocations, we increased our development budget," he noted. K-P also allocated Rs20 billion from its own funds to the tribal districts, demonstrating its commitment to inclusive development.
