National Assembly approves Rs18,877 billion budget for 2024-25

The National Assembly has recently approved the federal budget of Rs18,877 billion for the fiscal year 2024-25 after completing the approval process. During the session, all opposition amendments were unanimously rejected. Notable figures like Prime Minister Shehbaz Sharif and Pakistan People’s Party Chairman Bilawal Bhutto-Zardari were present. The Pakistan People’s Party withdrew its amendments related to the Petroleum Development Levy reduction, while the opposition's proposed changes were dismissed through a vote in the Assembly. Specifically, opposition amendments concerning the levy were voted down with 170 members opposing and 84 supporting the reduction.

Prime Minister Shehbaz Sharif addressed criticisms from PTI Chairman Barrister Gohar and former Speaker of the National Assembly Asad Qaiser regarding project allocations and fund distribution in Khyber Pakhtunkhwa. Member of the Sunni Ittehad Council Junaid Akbar Khan criticized the prime minister, suggesting consequences if their government were to assume power. Amendments were also passed to grant FBR officers the authority to conduct sales tax audits, enabling them to access necessary records without requiring data older than six years.

In efforts to enhance tax enforcement, the FBR will establish a Tax Fraud Investigation Wing in Wang, focusing on combating tax evasion and fraud with specialized legal and accounting units. Minister of Finance Muhamamd Aurangzaib described the budget for 2024-25 as a growth-oriented budget, emphasizing its strategic approach to stimulate economic growth. The budget aims to reduce the fiscal deficit by increasing government revenues and reducing unnecessary expenditures. Aurangzaib reiterated the government's goal of raising the tax-to-GDP ratio to 13 percent from the current 9.5 percent.

The approval of the federal budget for the upcoming fiscal year marks a significant milestone in Pakistan's economic planning. With a focus on revenue generation, expenditure reduction, and tax enforcement, the government aims to drive economic growth and improve financial stability. The decisions made during the National Assembly session reflect a strategic approach towards achieving these goals, setting the stage for a potentially transformative year ahead.