ISLAMABAD: Prime Minister Nawaz Sharif in Islamabad chaired a special cabinet meeting to consider approval of budget proposals for the next financial year.
Finance Minister Ishaq Dar is briefing the cabinet regarding budget proposals including targets set for the next financial year, both development and non-development activities.
After approval of the budget proposals, the Finance Minister will present the Federal Budget with an outlay of about 4.7 trillion rupees for the next fiscal year in the National Assembly and Senate this evening.
This will be the third budget of the present government.
The upcoming national budget envisages revival of economy, overcoming challenges at economic front particularly resolving the energy crisis and reducing non-development expenditures and providing relief to the masses besides promoting investment and people friendly policies for the socio economic prosperity of the country.
One of the biggest challenges facing the government will be to broaden the tax base in a country where only about one in 200 citizens files income tax, leaving the state having to ask donors to fund crumbling schools and hospitals.
With many legislators, ministers and businessmen believed to evade taxes, mustering the political will to push through reform could prove difficult.
Nevertheless, Pakistan`s Federal Board of Revenue has targeted a 19 percent increase in tax receipts to 3,200 billion rupees for 2015/16.
Defence spending next year will be set at 772 billion rupees, including 45-50 billion for the operation, an increase of 10 percent over 2014/15.
The PML-N government has also planned to allocate Rs1500 billion for Public Sector Development Programme.