Today, Federal Finance Minister Muhammad Aurangzeb is poised to present the finance bill for the upcoming fiscal year 2024-25 during the National Assembly session. Preceding this, the federal cabinet is expected to grant approval to the budget proposals outlined in the Finance Bill 2024.
In the forthcoming budget, a significant allocation of Rs2100 billion is earmarked for defense expenditures, while Rs9700 billion is designated for interest payments on loans. Additionally, Rs1500 billion is proposed for development initiatives in the next fiscal year.
The allocation of Rs2100 billion for defense marks a notable 19.29% increase from the Rs1804 billion allotted in the 2023-24 budget. Over the years, the defense budget has seen varying allocations, with figures ranging from Rs920 billion in 2017-18 to Rs1563 billion in 2022-23.
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Media reports indicate that the government has proposed Rs5.63 billion for the Ministry of Defence’s development projects in the forthcoming budget. This allocation covers 29 essential projects, reflecting the government’s emphasis on enhancing military infrastructure and technology. Of this amount, Rs3.92 billion is allocated to nine ongoing projects critical for maintaining and upgrading existing systems.
A notable Rs1.7 billion is designated for 20 new initiatives aimed at addressing emerging security needs and advancing defense capabilities. This includes Rs400 million for drone procurement, intended for law enforcement and emergency search and rescue operations, showcasing the government’s commitment to modernizing defense tools.
Furthermore, Rs620 million is allocated for acquiring land to establish a Medical City, aimed at enhancing healthcare services for defense personnel and their families. Additionally, Rs860 million is earmarked for the National Aerospace Science and Technology Pak Aviation City in Pakistan, underlining the government’s focus on bolstering aerospace capabilities.
