Govt to spend Rs1.8tr on public sector

  • CPEC takes centre stage as PTI eyes ‘balanced development’ 
  • Centre allocates Rs912bn for provinces, sets 951bn aside for federal ministries, divisions 
  • Rs155bn allocated to NHA, Rs85bn to Water Resources Division, Rs48bn for ex-FATA region 

ISLAMABAD: The Pakistan Tehreek-e-Insaf (PTI) government on Tuesday allocated Rs 1.863 trillion in the Public Sector Development Programme (PSDP) for the upcoming fiscal year with a “special focus on underdeveloped areas for balanced regional development”.

The finance bill for the FY2019-20 was presented by State Minister for Revenue Hammad Azhar, who said the funds were allocated in line with the government’s policy to promote harmony and national integration.

Of the total outlay, Rs 951 billion was set aside for the federal ministries and divisions, whereas Rs912 billion was earmarked for the provinces, according to a budgetary document, which further noted that the National Economic Council (NEC) had approved the PSDP allocations on May 29, with foreign assistance worth Rs127 billion.

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According to the budgetary document finalised by the Ministry of Planning, Development, and Reforms, the budget for PSDP, through an extensive consultative and participatory process, would carry forward the strategic vision of the government.

The PSDP focuses on economic stabilisation, achieving balanced regional development, improving social protection and poverty alleviation, housing, augmentation of water resources, energy and food security, developing a competitive knowledge economy, and modernisation of transport infrastructure and greater regional connectivity, the document read.

The China-Pakistan Economic Corridor (CPEC) continued to remain in the spotlight and projects had been fully funded.

Separately, the government set aside funds to make Pakistan clean and green to mitigate the adverse effects of climate change and enhance tourism.


Meanwhile, of the total Rs951bn, the government allocated Rs 1.2bn for the Aviation Division, Rs100 million for the Board of Investment, Rs39bn for the Cabinet Division, Rs7.5bn for the Climate Change Division, Rs100m for the Commerce Division, Rs248.3 million for the Communication Division excluding NHA [National Highway Authority], Rs456 million for the Defence Division, and Rs1.7bn for the Defence Production Division.

The government also earmarked Rs333.25m for the Establishment Division, Rs4.7bn for the Federal Education and Professional Training Division, Rs36bn for the Finance Division, Rs29.774m for the Foreign Affairs Division, Rs29bn for the Higher Education Commission, Rs 2.9bn for the Housing and Works Division, Rs 142.9 million for the Human Rights Division, Rs2.3bn for the Industries and Production Division, Rs 516.126 million for the Information and Broadcasting Division, and Rs7.3bn for the Information Technology and Telecom Division.

Similarly, an amount of Rs 339.958m have been allocated for the Interprovincial Coordination Division, Rs 9.847bn for the Interior Division, Rs 44bn for the Kashmir Affairs and Gilgit Baltistan Division, Rs1.3bn for the Law and Justice Division, Rs3.6bn for the Maritime Affairs Division, Rs135.24m for the Narcotics Control Division, Rs12bn for the National Food Security and Research Division, Rs13bn for the National Health Services Regulations and Coordination Division, Rs 128.016 million for the National History and Literary Heritage Division, and Rs24bn for the Pakistan Atomic Energy Commission.

The government also allocated Rs301.47 million for the Pakistan Nuclear Regulatory Authority, Rs581.812m for the Petroleum Division, Rs7.9bn for the Planning, Development and Reform Division, Rs200m for the Poverty Alleviation and Social Safety Division, Rs16bn for the Railways Division, Rs1bn for the Religious Affairs and Interfaith Harmony Division, Rs1.8bn for the Revenue Division, Rs7.4bn for the Science and Technological Research Division, Rs 6bn for SUPARCO, Rs 202.828 million for the Textile Industry Division and Rs 85bn for the Water Resources Division.

An amount of Rs155bn has been allocated for the NHA, Rs 41bn for the National Transmission & Despatch Company and Pakistan Electric Power Company (NTDC/PEPCO), Rs 5bn for the Earthquake Rehabilitation and Reconstruction Authority (ERRA), Rs32.5bn for the relief and rehabilitation of IDPs [internally displaced persons], Rs32.5bn for Security Enhancement, Rs10bn for the Prime Minister’s Youth Skill Development Initiative, Rs2bn for the Clean Green Pakistan Movement/Tourism, Rs1bn for the Gas Infrastructure Development Cess, and Rs 48bn for tribal districts under the head of Merged Areas 10 Years Development Plan.

The government allocated Rs 250bn for alternative financing.

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