KP Govt Presents Rs1.118 Trillion Budget For Next FY 2021-22


KP govt presents Rs1.118 trillion budget for next FY 2021-22

Finance Minister Taimur Khan Jhagra has read the budget of next fiscal year-2021-22, announcing overall 37 per cent increase in the salaries of the government employees.

PESHAWAR: (UrduPoint/UrduPoint / Pakistan Point News-June 18th, 2021) Khyber Pakhtunkhwa (KP) government has presented the provincial budget of Rs 1.118 trillion for next fiscal year 2021-22.

Provincial Finance Minister Taimur Khan Jhagra did the budget speech. The Minister announced over all 25 percent increase in salaries of the government employees.

He also announced that an increase in pensions of widows by 100 percent was also proposed in the next year’s budget.

The minister also announced increase in the rent house for the government employees by seven per cent. Mr Jhagra said that they had also increased house rent for government employees by seven percent, he said adding that the government has already saved Rs 12 billion under an initiative to extend the time period of early retirement.

The minimum wage for labourers was also increased to Rs21,000.

He also announced a 10 percent ad-hoc relief allowance for all employees and a 20 percent increase in the functional or sectoral allowance for all employees not drawing a special allowance.

He said that the province would receive Rs475 billion in terms of tax collected by the Federal government while Rs57.20 billion would be received under grant owing to the terrorism-affected status of the province.

“Rs75 billion will be received as profit for generation of power through windmills,” he said adding the province would also receive Rs19.90 billion under federal PSDP.

The finance minister said that the government is providing health facilities to the 7.2 million population of the province through health cards and Rs23 billion would be spent on the facility in the next year.

“The current expenditure is estimated at Rs747 billion next year,” said Jhagra, adding that Rs371 million were earmarked for tribal areas including Rs100 billion for the uplift projects

“Over all 37 per cent increase has been made in the salaries of the government employees,” said the minister.

The overall outlay for the KP budget is estimated at Rs1.118 trillion with Rs316 billion earmarked for the development portfolio. An amount of Rs250 billion was earmarked for the ‘Bandobasti’ districts of the province.

The budget proposals were presented before the provincial cabinet for discussion and after its approval from the forum, KP CM Mahmood Khan also signed it.