PAKISTAN. The PTI-led government faces a delicate task in balancing its priorities 2020-21 amid an unprecedented crisis due to the coronavirus pandemic and other challenges arising from the government’s austerity measures in fiscal 2019-20.
The following will be its key areas of focus next fiscal year.
- No new taxes were introduced in order to provide relief to the masses
- Proposed tax concessions will prove effective in helping boost the economic activities
- Striking a balance between corona expenditure and fiscal deficit
- Keeping primary balance at sustainable level
- Welfare expenses to be continued under the Ehsaas Programme for the society’s poor and destitute
- Successful continuation of IMF program
- Assistance to people to provide cushion from effects of the corona to be continued in the next fiscal year as well
- Keeping development budget at adequate level to inject economic growth
- Pakistan’s defence and internal security situation given satisfactory importance
- Bringing improvement in the revenue collection without unnecessary revisions in taxes
- Resources allocated for concessions to the construction sector, including Naya Pakistan Housing Scheme
- Special funds allocated for special areas — that is erstwhile FATA, Azad Jammu and Kashmir, and Gilgit-Baltistan — to ensure the development and economic growth there
- The special initiatives led by the prime minister like Kamyab Jawan, Sehat
- Card, Billion tree Tsunami etc have also been protected
- Austerity and rationalization of expenditures will be ensured
- Subsidy regime will be rationalized to provide targeted subsidy to the deserving segments of the society.
- NFC award will be revisited. Moreover, the provinces will be asked to fulfill its funding commitment made at the time of merger of erstwhile FATA
