Taimur Khan Jhagra presents over Rs1 trillion KP budget for FY2021-22

PESHAWAR: Finance Minister Khyber Pakhtunkhwa (KP) Taimur Khan Jhagra on Friday presented the provincial budget for 2021-22 having a total outlay of Rs1.118 trillion, ARY NEWS reported.

While announcing a 37 percent increase in pay and allowances of the government employees, the finance minister during the budget speech said that an increase in pensions of widows by 100 percent is also proposed in the next year’s budget.

We have also increased house rent for government employees by seven percent, he said adding that the government has already saved Rs 12 billion under an initiative to extend the time period of early retirement.

The minimum wage for labourers has been increased to Rs21,000.

The provincial government also announced a 10 percent ad-hoc relief allowance for all employees and a 20 percent increase in the functional or sectoral allowance for all employees not drawing a special allowance.

During the budget speech, the finance minister said that the government is providing health facilities to the 7.2 million population of the province through health cards and Rs23 billion would be spent on the facility in the next year.

“The

current expenditure is estimated at Rs747 billion next year,” Taimur Khan Jhagra said adding that Rs371 million have been earmarked for tribal areas including Rs100 billion for the uplift projects.

He said that the province would receive Rs475 billion in terms of tax collected by the federal government while Rs57.20 billion would be received under grant owing to the terrorism-affected status of the province.

“Rs75 billion will be received as profit for generation of power through windmills,” he said adding the province would also receive Rs19.90 billion under federal PSDP.

Earlier in the day, Khyber Pakhtunkhwa (KP) cabinet headed by Chief Minister Mahmood Khan approved the provincial budget for the fiscal year 2021-22, proposing a hike in salaries by 25 per cent for government employees.

The budget proposals were presented before the provincial cabinet for discussion and after its approval from the forum, KP CM Mahmood Khan also signed it.

The overall outlay for the KP budget is estimated at Rs1.118 trillion with Rs316 billion earmarked for the development portfolio. An amount of Rs250 billion was earmarked for the ‘Bandobasti’ districts of the province.