Budget 2021-22: PM Imran Khan chairs NEC meeting to decide on development funds

ISLAMABAD: Prime Minister Imran Khan on Monday chaired a meeting of the National Economic Council (NEC) to make consultations over the development budget for the next fiscal year 2021-22 with the provinces, ARY NEWS reported.

The meeting was attended by the prime minister and chief ministers of the four provinces and other top government officials as approvals would be given to the budgetary targets for the next year.

It has been proposed to set federal PSDP at Rs900 billion besides allocating Rs1,235 billion for provincial development projects. The economic growth for the next year is also expected to be set at 4.8 or 5 percent.

The targets for inflation and economic indicators would also be set during the meeting of the NEC headed by Prime Minister Imran Khan.

A report previously has noted that the federal budget 2021-22 will have a total outlay estimated at Rs8.4 trillion.

According to sources privy to the matter, the total outlay of the federal budget is estimated at Rs8400 billion, with a recommendation of upto 10 to 15 percent increase in salaries of the government employees. “The budget for the pension of the government employees is estimated at Rs470 billion,” they said.

“It has been recommended in the budget that no new taxes should be imposed on salaries person,” they said while sharing the salient features.

The sources said that the development budget-Public Sector Development Programme (PSDP)- is estimated at Rs900 billion besides also earmarking Rs500 billion for government expenditure.

They further shared that an allocation of Rs400 billion is being set aside in the budget for subsidies. “The defence budget is estimated at over Rs1300 billion for the next fiscal year,” they said.