PESHAWAR, Jun 14 (APP): Provincial Finance Minister Muzaffar Said
Advocate on Tuesday presented Rs. 505 billion tax free and balanced budget for the year 2016-17 in the KP Assembly carrying Rs. 161 billion development outlay, slight readjustment in provincial taxes, an increase of ten percent in the salaries and pension of the government employees besides seeking creation of 36232 new jobs.
In his budget speech the Finance Minister stated that the province is
expected to obtain Rs380,187 million from the federal tax assignments, Rs 293,694 million as one per cent of divisible pool for war on terror, Rs 35,289 million as straight transfer, Rs 17,199 million as net hydel profit, Rs, 18,704 million as arrears of net hydel profit and Rs. 15000 million as incentive on surplus cash balance.
The province’s own receipt included Rs. 49,507 million as tax receipt,
Rs. 18,171 million non tax receipt and Rs 18,635 million as commercialization of government properties.
The KP government has decided to allocate Res 33 billion for the local
governments during the next fiscal, he said adding the province will generate Rs15billion from its own resources under sales tax on services sector, Rs40billion under tax and non-tax heads, Rs.18 billion from annual net hydel power income, and Rs15 billion from net hydel profit arrears, the minister said adding KP will generate Rs3.5billion from its own power generation in the coming fiscal.
The provincial Finance Minister announced salary package for the
government employees under which he announced the merger of 10 percent interim allowance 2013 and 2014 into the basic running pay of the provincial government employees as well as he also announce 10 percent increase of salaries for government employees.
The Minister announce 10 percent increase in the pension of retired
employees and 25 per cent increase in the pension for the employees having more than 85 years age. The rise in salaries, pension and allowance would cost Rs. 14.20 billion to provincial exchequer.
The Finance Minister also announced increase in minimum wage from
Rs.13,000 to 14,000 of the labourers, adding that the services of 13,200 LHWs are being regularized while there is a proposal for the appointment of 1088 vaccinators at the level of Union Councils.
He also announced three- year extension in the contractual services of
11,000 personnel of special police force.
The miscellaneous allowance of the Qasid, Nabi Qasid and Daftari has
been increased from Rs 300 to Rs 450.
Similarly, the employees from BPS 1-15 working after the duty hours
would be getting 50 percent rise in the conveyance allowance.
The washing and Dress allowances of BPS 1-4 Â also increased from 100 to
150 rupees. Rs. 2500 M.Phil allowance has also been announced for provincial employees, while the upper limit of additional charge allowance and deputation allowance has been increased from Rs. 6000, to 12,000.
The Minister also announced 50 percent rise under the head of
qualification pay for CIMA, ACCA, SMC, NDC, NMC, ICWA, ICMA, CA and MCMC.
The provincial government for the first time has allocated Rs. 1000
allowance per month for the disabled persons of the province.
He told the House that two new solar projects would be initiated one
each in southern district and Chitral at a cost of Rs200million each which on completion would provide electricity at cheaper rates to 3000 households.
He told that Rs 600 million have been allocated for extension in Gomal
Zam Dam project and Rs 2 billion for irrigating over 50,000 acres of barren land in the southern districts.
The Finance said that special packages would be announced in the next
fiscal- year for the laborers, teachers, police and class-IV employees. The honorarium a to the poets, writers and artists would continue to be paid in the next fiscal as well.
About readjustment in the provincial taxes, the Finance Minister said
the government has proposed upward revision in the taxes including token tax fees, while for the luxury cars the tax ratio is being enhanced from Rs5000 to Rs6500.
Similarly, the ratio of the capital value tax would be the same however
its scope would be extended to rural parts of the province as well in the next fiscal, he said.
The mutation fee is being enhanced from 2 percent to 2.5 percent
similarly Rs. 300 fee has been proposed for non prohibited bore and Rs 1500 for prohibited bore weapons. The rates of electricity duty are also being revised upwardly during 2016-17.
The Finance minister said that 21percent of the development resources
would be utilized on developments schemes, 10.9 percent on health facilities, 10.5 percent on primary and secondary education, nine percent on construction of roads and 5.8 percent on local government institutions in the districts.
The Finance Minister also mentioned about special measures for
transgender people in KP which included their proper registration and payment of monthly honorarium.
He said that his government would provide maximum funds for the schemes
involving social welfare aspects of the people including education, health and social welfare.
The Finance Minister, while referring to the development programme
2016-17, informed that the government would provide maximum funds for the ongoing schemes while the number of new schemes would be kept to the minimum level.
Of the total Rs161 billion ADP, the provincial government’s share in
the development outlay would be Rs125bn and Rs36billion foreign aid and grants.
A total 1,516 development projects would be executed including 1,199
ongoing and 255 new ones in next fiscal, he informed. The volume of the district ADP 2016-17 has been pitched at Rs 33.90 billion during the next fiscal year.
Giving break-up sector wise allocations in the budget, he said that
education to get Rs. 111.52 billion of which Rs. 102. 2 billion have been allocated for primary and secondary education and Rs. 9.50 billion for Higher education, showing an increase of 15 percent over the out going fiscal year.
Similarly, health would get Rs. 38.42 billion, showing 28 percent
increase over the corresponding year. Social welfare, special education and women development would get Rs. 1.69 billion showing 23 percent increase.
He said that police would get Rs. 32.94 billion, irrigation 3.42
billion, Technical education and manpower training Rs. 1.97 billion, Rs. 600 million for Sport, Culture and Tourism, Rs. 3.80 billion for agriculture, Rs. 2 billion for environment and forest, Rs. 3.20 billion for communication and works, R.s 40.91 billion for pension, Rs. 2.90 billion for subsidy on wheat, Rs. 8.8 billion for payment on debt servicing and Rs. 11 billion for payment of foreign loans and making advances to the government employees.
The Finance Minister informed the House for Rs. 294.22 billion has been
allocated for welfare portion of the budget which is 61 percent of the total budget and Rs. 49.78 billion allocated for administrative budget and Rs. 161 billion for the development program which is 22 per cent of the ADP.
Giving details of the expenditures for the fiscal year, he said that of
the total Rs. 505 billion, Rs. 344 billion have been set aside for current expenditure, showing 10 percent increase over the outgoing fiscal budget.
The Finance Minister Muzaffar Sayed told the House that under the
allocation of Rs. 3 billion in health sector, the government would extend the Health Insurance Program to the whole of the province, providing best health care facilities to over 10 million population.
He said the government inheritied a very poor education system lacking
basic faciliteis in the government schools however, the provincial government in the last three years succeeded in overcoming shortcoming, adding that in next two years the missing facilities would be met.
He said that for the first time in the history of Pakistan, first
females cadet college would be set in Mardan, similarly, Chitral and Bunner campuses of Abdul Wali Khan University would get status of full fledged universities. A campus of engineering university would be set up in Upper Dir, while a campus of Bannu University would be established in Lakki Marwat.
Similarly, the institute of Criminology and Forensic Sciences would be
established at university of Peshawar at a cost of Rs. 20 million he said adding Rs. One billion would be spent on the welfare of the youth besides the government would set up 100 youth centres for them.
He said the government has proposed Rs. 200,000 to 2,000,000 interest
free loan for youth to start small businesses.
Under private public partnership the construction of Swat expressway
costing Rs. 34 billion has been approved which is likely to be completed by December 2017.
The feasibility study of Chakdara â€“ Mingora road has been included in
PSDP. The road between Margalla hills in Islambad to Changa Galli that would shorten the distance between Islamabad to Khyber Pakhtunkhwa would be completed at a cost of Rs. 670 million.
Simiarly, Rs. 1 billion would be spent on improving road infrastructure
in Hayatabad and Regi Lalma townships.
The Finance Minister Muzaffar Said told the House that the government
was leaving no stone unturned for the attainment of the provincial rights and made a mention to China Pakistan Corridor Western Route.
He said that the government has agreed to give the status of motorway to
Kohat “Jhud Indus Highways and DI Khan ” Peshawar Indus Highways and the projects have been made part of the PSDP.
Chashma Right Bank Canal is an important project for the province, he
said and told the federal government has agreed to bear 65 per cent expenditure to this effect and the practical work on the project would start this year at a cost of Rs. 121 billion.
The project would irrigate 2,86,000 acre barren land in DI Khan and
He also said the government wanted to establish 18 more industrial
states of which eight would be part of the CPEC, adding that during next three years around 2 million people would get employment opportunities.
Refering to minorities, he said the government has allocated Rs. 90
million for renovation and refurbishing of Churches, Temples and other religious places of minorities besides provision of textbooks, scholarships and uniforms to their students.
The government would set up a judicial complex in Nowshera, Kohat,
Dargai, Shabqadar, Tall, Totali, Tank and Kulachi.
He said that Rapid Bus Service project spread over 23 kilometers would
be completed at a cost of Rs. 20 billion with the assistance of ADB by December in provincial metropolis.
The Minister said a comprehensive package of Rs. 3 is being chalked out
to provide pesticides, seeds and fertilizers to farmers, adding that 26,800 metric ton certified seed of wheat would be provided to farmers across the province to increase wheat production.
Besides, he said that Rs. 300 million assistance package and solar
tube-well would be given to farmers to bring barren land under cultivation while agricultural equipments would be provided on cheap rental rates to poor farmers through extension centres.