Issue 28

Budget Study Centre   Issue 28
Nov 22, 2018


Fortnightly Budget News Alerts

PM approves National Financial Inclusion Strategy

The News (Nov 22, 2018)

ISLAMABAD: Prime Minister Imran Khan today approved 5-years plan for enhanced National Financial Inclusion Strategy (NFIS) during a meeting held at the Prime Minister’s Office. The meeting was attended by Minister for Finance Mr. Asad Umar, Advisor to Prime Minister Dr. Ishrat Hussain, Secretary Finance Mr. Arif Ahmed Khan, Governor State Bank Mr. Tariq Bajwa and senior government officials. National Financial Inclusion Strategy (NFIS) lays out the national vision… Read More

Gwadar’s deep-sea port set for further expansion in January

The Pakistan Today (Nov 22, 2018)

BEIJING: The Gwadar deep-sea port development will gain further momentum as work on its expansion plan is set to start from January, director general, Planning and Development, Gwadar Port Authority, Munir Ahmed Jan said on Tuesday. Under the expansion plan, five new berths would be added to the existing three berths for handling bigger ships, he said while talking to APP. Munir, who recently visited the Chinese capital to attend the CPEC Media Forum, said the first phase…Read More

Speakers call for enhancing capacities of LG members

The Frontier Post (Nov 21, 2018)

Lakki Marwat: Speakers at a session has called for enhancing capacities and capabilities of local bodies members in budget making to ensure utilization of financial resources on public wel fare progammes. The session on budget consultation was organized by Citizen Network for Budget Accountability at town hall building in Lakki city on Tuesday. Local government representatives and social and political activists were in attendance. To incorporate people’s suggestions and ensure active participation…Read More

Speakers for training LG representatives on budget making process

The Nation (Nov 21, 2018)

Lakki Marwat: Speakers at a session called for enhancing capacities and capabilities of local bodies members in budget making to ensure utilization of financial resources on public wel fare progammes. The session on budget consultation was organized by Citizen Network for Budget Accountability at town hall building in Lakki city on Tuesday. Local government representatives and social and political activists were in attendance. To incorporate people’s suggestions and ensure active participation…Read More

CPDI launched ‘study of budget making process’ at district level in KP

The Today’s Muslim (Nov 20, 2018)

Peshawar: CPDI launched ‘study on budget making process’ at the district level in Khyber Pakhtunkhwa. Transparency and citizens; participation in the budget making process sought at the district level in Khyber Pakhtunkhwa. The budget study report revealed transparency and citizen’s participation in the budget making process was fund lacking at the district level in Khyber Pakhtunkhwa. Budget call letters were delayed consultations with relevant stake holders not…Read More

Pakistan’s GDP growth to slow down to 5.4% in FY19: Fitch

The Pakistan Today (Nov 20, 2018)

LAHORE: A report released by Fitch Solutions has said that Pakistan economic growth will slow down over the coming quarters and projected it to be 5.4% for FY19 compared to 5.8% in FY18. It said, “We believe that further austerity measures will likely exacerbate the cyclical slowdown in the Pakistan economy. However, that is not to say that in the absence of the IMF-induced austerity, Pakistan will be able to sustain its current growth momentum. Pakistan has been …Read More

Pakistan receives much-awaited $1b from Saudi Arabia

The Express Tribune (Nov 19, 2018)

KARACHI: Pakistan has received the first tranche of $1 billion from Saudi Arabia under the $6-billion financial package aimed at stabilising the fast dwindling foreign currency reserves. The much-needed inflow comes at a time when Pakistan and the International Monetary Fund (IMF) are negotiating a bailout package. The State Bank of Pakistan (SBP) confirmed on Monday that it had received $1 billion from Riyadh, giving a boost to the foreign currency reserves. Earlier, the …Read More

Increase in exports only way to avoid external debt: Asad

The Nation (Nov 19, 2018)

ISLAMABAD: Federal Minister for Finance Asad Umar has said that enhancing the country exports was the only way to overcome the external debt or we have to seek more loans from IMF to run the affairs of the country. Talking to a private news channel, he said when PTI government came into power the country’s economy was facing the deficit of Rs 800 billion. He said that trade can be improved with all the neighboring country, including Afghanistan, Iran, China and Saudi…Read More

CPDI issued a survey report on district budgeting report

The Today’s Muslim (Nov 17, 2018)

Peshawar: CPDI issued a survey report on district budgeting report, according to the report, public participation transparency indicates issues related to the budgetary implementation of the public sector transparency. The report indicates improvement in the previous year. However, the public participation and budgeting process was disappointing, the budget call letter was not consulted with the late-issued stakeholder, it has been revealed that websites of only… Read More

PTI government decides to launch five-year roadmap

The Express Tribune (Nov 17, 2018)

ISLAMABAD: The Pakistan Tehreek-e-Insaf (PTI) government has decided to launch a five-year roadmap to ensure development work in the long run in different sectors during its tenure. The government will launch a five-year roadmap during an event at the Convention Centre, apprising the public of the progress made on the 100-day plan. The government will announce different targets under the five-year roadmap to make developments in different sectors including the social sector…Read More

IMF proposes government to raise GST to 18% as part of comprehensive fiscal adjustment

The Pakistan Today (Nov 16, 2018)

ISLAMABAD: The government has been told by the International Monetary Fund (IMF) to increase the general sales tax (GST) to 18%, that will allow it to raise an additional Rs160 billion in new taxes. This puts the Pakistan Tehreek-e-Insaf (PTI) government in a quandary since it has pledged the IMF it will decrease the burden of indirect taxes, reports Express Tribune. The visiting IMF delegation is seeking tax efforts equivalent to 0.4% of gross domestic product (GDP)…Read More

In October: Current account deficit widens 34%, amount to $1.21b

The Express Tribune (Nov 16, 2018)

KARACHI: The current account deficit (CAD) – which is set to keep putting pressure on foreign currency reserves in the current fiscal year as well – widened for the second consecutive month in October due to an unwanted growth in imports and likely dividend payments. The deficit grew 34% to $1.21 billion in October compared with $909 million in the previous month, the State Bank of Pakistan (SBP) reported on Thursday…Read More

19000 more be added in tax net till June

The Nation (Nov 15, 2018)

MULTAN:- The Regional Tax Office (RTO) Multan has expanded tax base by registration of over 19,000 more tax payers ,including 440 companies to the list in a year till June 2018 by virtue of its efforts to enhance revenue generation. Chief Commissioner Inland Revenue, RTO Multan Abid Raza Bodla told APP on Wednesday that 19,742 additional tax payers had been registered and the number would rise as individuals still have time to file returns till…Read More

China: officials debate budget deficit

The Stratfor (Nov 15, 2018)

What Happened: Chinese authorities are debating whether it is necessary for the country to maintain a deficit that is 3 percent of the country’s gross domestic product, with some economists arguing that private companies should receive a greater tax reduction, reported Nov. 15. Why It Matters: Chinese officials are exploring options to support the country’s economy amid speculation in the property market and high leverage. More tax …Read More

Pakistan looks forward to IMF’s bailout

The News (Nov 14, 2018)

ISLAMABAD: Pakistan looks forward to the International Monetary Fund’s (IMF) support for the government’s efforts aimed at achieving an economic turnaround, the finance minister said on Tuesday. The Finance Minister Asad Umar expressed the government’s willingness for the bailout at a meeting with the visiting IMF mission led by its chief Harald Finger. The statement clearly indicates that Islamabad is willing to take a bailout package from the IMF. Yet, the program’s size…Read More

Russia’s federal budget in surplus of 3.6% for first time since 2011

The Intellinews (Nov 14, 2018)

Russia’s federal budget revenues were RUB15.8 trillion ($233bn) in January-October 2018, exceeded expenditures of RUB12.78 trillion by RUB3.02 trillion ($44.1bn) handing the government a surplus of 3.6% of GDP, the Ministry of Finance reported on November 13. The primary surplus, that excludes the cost of servicing public debt, was even higher at 4.5% of GDP. Russia started this year expecting a budget deficit of 1.3% of GDP, but with the unexpected…Read More

Pakistan, China urged to tackle global conspiracies by trading in local currencies

The Pakistan Today (Nov 13, 2018)

ISLAMABAD: A leading Chinese scholar on Tuesday called for strengthening the Renminbi (official currency of China), which would subsequently improve the value of the Pakistani Rupee. Addressing the participants of a roundtable dialogue organised by the Pakistan-China Institute (PCI) entitled, “CPEC: The Way Forward”, Dr Chen Wenling said China and Pakistan must not get influenced by the pressures imposed by the external forces and…Read More

China hints at Afghanistan’s inclusion to CPEC, Belt & Road Initiative

The Pakistan Today (Nov 13, 2018)

ISLAMABAD: Chinese Ambassador Yao Jing on Monday urged Afghanistan to join the Belt & Road Initiative as well as the China-Pakistan Economic Corridor (CPEC) and said that Kabul was a “natural partner” of the mega-project. “Afghanistan can also act as a bridge to help expand connectivity between East, South and Central Asian regions. It [Afghanistan] would benefit from joining CPEC and BRI as the projects aim at social and economic development in Pakistan and would provide…Read More

IMF raises questions over measures to rein in fiscal deficit

The Pakistan Today (Nov 12, 2018)

ISLAMABAD: Pakistan and the International Monetary Fund (IMF) commenced their policy discussions on Monday aimed at reining in fiscal deficit and deliberate on economic and fiscal adjustments required to obtain a bailout of approximately $6 billion. A draft Memorandum of Economic and Financial Policies (MEFP) had been composed by the Ministry of Finance in deliberation with other economic ministries which was the focal point of discussion with the IMF, said a senior…Read More

Gwadar rising fast in Pakistan’s economic landscape

The Pakistan Today (Nov 12, 2018)

BEIJING: Once a small backward fishing town off the Arabian Sea in the southwest Balochistan province, Gwadar now is rising fast in the economic landscape of the country and is attracting more businessmen by offering numerous business opportunities. The deep-water port became fully functional in late 2016 under the China-Pakistan Economic Corridor and welcomed its first liner in March 2018, China Daily reported on Monday. According to the port’s…Read More

Pakistan to hold policy-level talks with IMF this week

The Pakistan Today (Nov 11, 2018)

ISLAMABAD: Pakistan and the International Monetary Fund (IMF) are to start policy-level discussions this week, starting from Monday. The IMF team which arrived in Islamabad on November 6, has so far held technical discussions with Pakistan’s authorities. According to sources, Asad Umar will head the policy-level discussions from Pakistan’s side. The talks between the IMF and Pakistan will continue till November 20. The volume of the loan would be finalised in the policy level …Read More

Pakistan to repay $1.7 billion on account of foreign debt till December

The Pakistan Today (Nov 10, 2018)

ISLAMABAD: Pakistan must make $1.7 billion on account of foreign debt repayments till December 2018, official data revealed on Friday piling up the risk to the country already plummeting foreign exchange reserves. Data obtained from various ministries reveals Pakistan requires to make debt servicing of over $1.7 billion in form of principal and markup on outstanding foreign loans in the present 2nd quarter, reports The News. Overall foreign debt obligations during the current FY19 are…Read More

Sri Lanka nearing 2018 with no budget, vote on account: economist

Economy Next (Nov 10, 2018)

ECONOMYNEXT – Sri Lanka is nearing the end of 2018 with no budget presented at Parliament for next year which has since been dissolved, raising questions about public finances an economist has warned. “This raises a serious issue about public finances, a prerogative of Parliament now dissolved,” W A Wijewardene an economist who was a former Deputy Governor of the Central Bank said in a message. “Spending for 2019 not approved;…Read More

Exports grow bu 3.52pc in four months, trade deficit swells by 1.97pc

The Pakistan Today (Nov 09, 2018)

ISLAMABAD: The exports from the country during the first four months (July-October) of the current financial year grew by 3.52 per cent and reached at $7,285 million, as compared to the exports of $7,037 million during the corresponding period of last year. Meanwhile, imports into the country also witnessed an increase of 0.06pc during the period under review, according to trade data released by the Pakistan Bureau of Statistics…Read More

Pakistan to brief IMF on wealth fund for state-owned institutions

The Pakistan Today (Nov 09, 2018)

ISLAMABAD: The economic managers of Pakistan Tehreek-e-Insaf (PTI) will brief the visiting delegation of International Monetary Fund (IMF) on the proposed wealth fund for state-owned institutions (SOIs) next week. The Ministry of Finance officials will brief the visiting team about the government’s plan of revamping the public sector enterprises by establishing a wealth fund, sources said, adding that the government wants to establish a holding company…Read More

Pakistan records Rs541.7b budget deficit

The Nation (Nov 24, 2018)

ISLAMABAD – Pakistan has recorded a budget deficit of Rs541.7 billion during the first quarter (July to September) of the ongoing fiscal (FY2019) year despite provincial government generated massive surplus and cut in development budget. The country’s expenditures have stood at Rs1.64 trillion as against the revenues of Rs1.1 trillion during July-September period of FY2019. The budget deficit has recorded at Rs541.7 billion (1.4 percent of the GDP)…Read More

Zhob: Concerns expressed over budget making process at district level

The Balochistn Point (Nov 23, 2018)

ZHOB: In order to identify the loopholes in preparing the district annual fiscal plan, encourage public participation and discourage political interventions Action for Welfare and Awakening in Rural Environment (AWARE) Organization in collaboration with Center for Peace and Development Initiatives (CPDI) launched a report entitled ‘Study of budget making process at district level’ here at assembly hall Zhob. Chief guest of the event was Chairman Municipal Committee…Read More