The federal government is all set to announce budget for 2020-21 in the parliament tomorrow on June 12, 2020.
According to the Adviser to the Prime Minister on Finance Dr. Abdul Hafeez Shaikh , the government would not introduce any new tax in the upcoming budget to facilitate the industrial sector.
He said the government would have to do work hard in the coming days to reduce the budget deficit to nine percent. He said the negative impact of coronavirus was also affecting our national economy like other countries and the government is trying to reduce its expenditures by adopting austerity measures. He said basic objective of the government is to provide relief to the people in the next budget and duties would be decreased on many things in the budget.
All targets have been reduced due to the Coronavirus this year. According to the ministry of finance, debt return and payment of interests are being considered as huge burdens on which Rs 3.2 trillion would be spent.
Earlier today, the advisor to the Prime Minister presented the Pakistan Economic Survey 2019-20 on Thursday, highlighting the state of the Pakistani economy in the outgoing fiscal year.
Shaikh highlighted the fragile state of the economy, which was ravaged considerably by the COVID-19 pandemic in the last quarter of the year.
Shaikh revealed that the GDP is expected to contract 0.38% in FY 2020 despite 2.67% growth in the agricultural sector, as the industrial and services sectors see growth of -2.64% and -0.59% respectively this year.
