Few days ago the Finance Minister of Pakistan, Ishaq Dar, presented the budget for the coming fiscal year in the assembly. He started is speech with a brief summary of how the government has been able to achieve its targets in the past four years and contributed to the growth of the country.
In the speech, his opening words were, “This is the fifth budget being presented by the PML-N government, and this is an achievement for democracy.”
He also talked at length about the Pakistan Economic Survey which was released yesterday. The data in the survey was used to report the government’s economic turnaround for the past years.
The Minister further said that a budget of Rs.1.001 trillion has been set for the development expenditure for the next year. Furthermore, he also announced that the minimum wage this year would be increased to Rs.15,000.
Tax breaks have been announced by the government for Small and Medium Enterprises, Agriculture, and the Information Technology sector. Because of these facilitations in the tax break, these sectors will flourish and contribute to the economy of Pakistan.
For the first three years of their establishment, the technology companies and startups will be exempted from sales tax. All the IT exports from Gilgit and FATA will be exempted from the sales tax too.
It is estimated that Federal Board Revenue will increase by 14% in the next year.
While presenting the budget, Ishaq Dar also mentioned that the government has allocated Rs.50,000 loan for setting up new businesses. All the small and medium enterprises will have easy access to loans and the government has allocated Rs.3.5 billion for this purpose.
The Finance Minister has revealed in his budget speech that the foreign exchange reserve of the country has also increased tremendously and the load-shedding in private, commercial, and industrial sectors has been reduced to a negligible level.