The Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb, revealed the Federal Budget 2024-25 on 12th June 2024 in the National Assembly. The government has announced the Pakistan budget for 2024-25 of Rs. 18.9 trillion. It is significantly higher than last year’s budget, including Rs. 14.5 trillion for projects.
The Federal Government has set the Federal Board of Revenue (FBR) tax collection goal at Rs. 12.97 trillion and a non-tax revenue mark of Rs.4,845 trillion. On the other hand, the budget deficit as a percentage of GDP clocked at 6.9 per cent.
The budget 2024 25 Pakistan summary revealed that it proposes eliminating people’s problems, transforming the agriculture sector, encouraging information technology, enhancing exports, promoting industrial growth, and bolstering businesses.
IMF and Budget 2024
The Finance Minister has a Pakistan budget 2024 speech and presents the budget documents before the parliament on the 12th of June, introducing new taxes and predicting economic growth of 3.6% as the crisis-riven country looks to convince the International Monetary Fund (IMF) to give more bailout money.
Here are some significant attributes Of the Federal Budget 2024-25
Up to a 25% increase in government employees’ salaries and a 15% increase in pensions for retired employees
Grades 1 to 16 will meet the 25% rise in salaries
Grades 17 to 20 will get a 22% increase
FBR tax collection is capped at Rs. 12.97 trillion
The non-tax revenue mark at Rs.4,845 trillion
Non-salaried classes will meet the 45% rate
Rs. 1,500 billion will be allocated to the Public Sector Development Program (PSDP)
A 27% increase is given to support the Benazir Income Support Program (BISP)
Rs. 593 billion dedicated to Benazir Income Support Program
A 15% to 18% increase proposed in general sale tax on textile and leather products sold by Tier-1 retailers
A 5% to 10% sales tax will be on the purchase of computers and laptops
Individuals who invest through mutual funds need to pay a 15% tax
A 5% FDD tax is on new plots and residential and commercial properties.
The 25% sales tax is on smartphone imports as well as IMEI registration
The Defense Budget is Rs1.252 trillion
The Petroleum Levy Revenue is Rs1.08 trillion
The minimum wage is Rs.37,000, up from Rs. 32,000.
Allocate Rs. 4 billion for e-bikes and Rs.2 billion for energy-saving fans
Rs. 5 billion sets for an agriculture mark-up scheme
For the promotion of remittances in Pakistan Rs. 86.9 billion allocated
Rs.253 billion to allocate for the promotion of wind and solar power by focusing on reducing losses
IT sector to get Rs.79 billion
The Pakistan Stock Exchange tax will increase from 1% to 2.25%
An 18% sales tax is set on mobile phones and vehicles based on price
A new hiring freeze for Basic Pay Scale (BPS) 1 to 16 positions
Iron and steel scrap will be free from sales tax
Federal Excise Duty (FED) on cement will be from Rs.2 to Rs.3 per kg
Steel and paper products will see an increase in duties
Termination of customs duty exemptions on hybrid car imports
Rs90 billion allocated for overseas Pakistanis to facilitate them in sending remittances
