Budget approval

As the entire nation appears to be in a frenzy as against the backdrop of this new budget

After much hoopla in the National Assembly, the budget for fiscal year 2019-2020 has been approved. It appears the entire nation has been in a frenzy as against the backdrop of this new budget, financial government departments imposed sudden regulations in order to meet the demands of the International Monetary Fund (IMF) to secure loans from the lender. The activity from all departments has demonstrated that perhaps this time with a budget of Rs7.022 trillion and strict conditions imposed by the IMF, we will not be profligate with our spending. Going forward, although still submerged with unrealistic debt servicing dues, there is a renewed hope that the budget will be utilised responsibly.

Goals of fiscal consolidation and revenue mobilisation were not evident in previous budgets. Citizens also seem to be mobilised after the government published amnesty schemes and other regulations. The force is stronger than before, though many people are still unconvinced owed to constant government inaction in the past. However, many of those same passive past leaders now sit in the Opposition and unsurprisingly disparaged many of the amendments proposed. The margin of approval of The Public Finance Management Act 2019 was quite close with a difference of 30 voters, despite this being a condition set by the IMF. Furthermore, Rana Tanveer Hussain of the PML-N offered to stop calling Prime Minister Imran Khan ‘selected’ if his government meets the tax revenue target of Rs5.55 trillion. This makes a mockery of our political fraternity, and the Opposition’s strong disproval points to disunity among members during a time when we cannot afford to be divisive.

A commendable note from this budget approval is that it strives for greater transparency, which has been a criticism of our government for years. The Amnesty Scheme which has bank customers running from pillar to post serves as an ideal starting point for introducing more funds into the economy for circulation. The caution here, however, is to continue applying pressure on citizens to honestly and ethically declare assets so that Pakistan can thrive.

Published in The Express Tribune, June 30^th, 2019.

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