For the first time in history, the country’s most populous province witnessed its first-ever presentation of a budget by a caretaker government as Chief Minister Syed Mohsin Naqvi-led Punjab administration unveiled the fiscal year 2023-24 budget with Rs1,719bn outlay for four months.
Addressing a presser in Lahore, Interim Punjab Information Minister Aamir Mir said that the budget was approved following a cabinet nod.
Hike in salaries, pensions
Meanwhile, in the budget, 30 percent raise was announced in the salaries of government employees with a 20 percent increase in the pensions of those older than 80 years.
The increase in pensions will be subject to certain conditions, specifically for individuals aged 60 to 80. They will receive a 5% raise, which contradicts the general increase provided to all pensioners by both the federal and Sindh governments.
A journalist endowment fund of one billion rupees has also been established.
‘No new taxes’
Punjab’s caretaker Chief Minister, Mohsin Naqvi, assured the public that no new taxes have been imposed in the Punjab budget.
Addressing the concerns of the people, he emphasized the government’s commitment to providing relief during these challenging times.
Duties on IT businesses abolished
In a bid to promote information technology business education, all taxes and duties have been abolished.
This move aims to encourage growth and innovation in the IT sector. The provincial government has granted approval to exempt IT industries from any taxes or duties, fostering a favorable environment for businesses to thrive.
Furthermore, to alleviate the financial burden on the people of Punjab, an allocation of Rs70 billion has been approved for a four-month period.
In an effort to boost the construction industry, the rate of stamp duty has been fixed at a modest one percent.
Agriculture, education
In recognition of the importance of agriculture, a substantial budget of Rs47.60 billion has been allocated. While the proposal to increase the rate of stamp duty to 3% has been rejected, aiming to maintain a balanced approach that supports economic recovery while not overburdening the public.
The government also set an ambitious target of completing 50% of ongoing development projects in Punjab during the first four months of the new fiscal year.
The budget for health and education also witnessed a 31% increase for the four-month period.
To make a closed power plant operational since 2017, an allocation of 16 billion rupees has been made.
