Punjab skips unveiling new fiscal year budget

Provincial finance minister presents Rs1.9tr revised outlay for outgoing 2017-18

LAHORE: Punjab Finance Minister Aisha Ghaus Pasha presented on Monday revised expenditures of Rs1,900.6 billion for outgoing fiscal year (2017-18), including a supplementary budget of Rs85.4 billion, amid strong opposition protest in the Punjab Assembly.

Prior to the budget speech, the provincial cabinet met under Punjab Chief Minister Shehbaz Sharif and granted approval to the supplementary budget.

Highlighting reasons for not presenting annual budget for the next fiscal year (2018-19), a senior official of the Punjab Finance Department said that although the Constitution did not bar the incumbent government from presenting the budget for the entire financial year, the Punjab government had decided not to do so because it would curtail the freedom of the next elected government to finance its development priorities.



Unlike other provincial governments, he said that the current government in Punjab had decided to allow full financial freedom to the next elected government.

Supplementary budget documents showed that out of a total of Rs85.4 billion, the government spent in excess of Rs21.95 billion on development projects while Rs61.56 billion were spent on non-development expenditures.

Documents also showed that the provincial government spent Rs24 billion over and above the budgeted allocations for the education sector during current fiscal year. The entire sum was funded through savings of Rs4.98 billion and Rs19.5 billion in supplementary grant.

A major chunk of excess expenditure (Rs14 billion) was spent on augmenting the non-salary component in 36 districts of the province and Rs5.5 billion on stipends awarded to female students.

The Punjab government spent another Rs19.1 billion on construction, repairs and maintenance of roads and bridges.

According to budget documents, the provincial government spent Rs17.1 billion for improving delivery of services in the health sector. Most of these funds were used for procuring medicines at district headquarters hospitals (DHQs) and salaries and allowance of the health department employees.



Documents also highlighted excess expenses of Rs7.6 billion for discharging outstanding liabilities and payment of salaries and staff benefits in the agriculture sector.

Similarly, Rs2.75 billion were spent over and above the budgeted allocation of irrigation and land reclamation for fiscal year 2017-18.

All of the funds were used for paying outstanding liabilities and salaries and benefits of the staff.

Supplementary budget documents showed excess expenditure of Rs5.6 billion in the police department, Rs2.8 billion on irrigation works, Rs1.6 billion on veterinary services, Rs1.44 billion on civil works, Rs96 million on land revenue, Rs126.4 million on provincial excise, Rs56.6 million on forestry, Rs55.2 million on the Motor Vehicle Act, Rs822.7 million on administration of justice, Rs52.5 million on jails and convicts settlement, Rs76.5 million on fisheries, Rs158.9 million on cooperatives, Rs758.8 million on industries, Rs585.4 million on communication, Rs30.9 million on civil defence and Rs189.7 million on state trading in food grain and sugar.

Most of the funds were used for paying outstanding liabilities of various provincial departments and salaries and allowances of government officials.



Highlighting reasons for not presenting annual budget for the next fiscal year (2018-19), a senior official of the Punjab Finance Department said that although the Constitution did not bar the incumbent government from presenting the budget for the entire financial year, the Punjab government had decided not to do so because it would curtail the freedom of the next elected government to finance its development priorities.

Unlike other provincial governments, he said that the current government in Punjab had decided to allow full financial freedom to the next elected government.