National Assembly clears Rs4.28tr spending plan

June 22, 2026 (MLN): The National Assembly on Sunday approved 12 demands for grants totaling Rs4.282 trillion for the fiscal year ending June 2027, while rejecting all 100 cut motions submitted by opposition members during the budget proceedings.

The approved allocations include Rs5.66bn for the Finance Division, Rs9.87bn for other expenditure of the Finance Division, and Rs14.91bn for the Controller General of Accounts, as reported by APP. 

Lawmakers also cleared Rs1.162tr for pensions and superannuation allowances, alongside Rs2.504tr earmarked for grants, subsidies, and miscellaneous expenditure.

Other approved allocations comprise Rs106 million for the Revenue Division, Rs85.60bn for the Federal Board of Revenue (FBR), Rs94.71bn for federal miscellaneous investments and other loans and advances, and Rs231.08bn for other development expenditure.

The House further sanctioned Rs2.35bn for capital outlay on federal investments, Rs169.21bn for development loans and advances by the federal government, and Rs2.3bn for external development loans and advances.

Speaking during the session, Finance Minister Senator Muhammad Aurangzeb said major policy matters, including tax reforms, energy sector restructuring, public debt management, and governance improvements, had already been extensively debated during budget discussions.

The finance minister stated that Pakistan’s economic indicators had shown improvement since 2022, noting that economic growth had reached approximately 3.7%, while the primary surplus had climbed to a historic level.

He added that the country maintained a current account surplus during the previous fiscal year and throughout the first 11 months of the ongoing fiscal year.

Aurangzeb also highlighted a reduction in the debt-to-GDP ratio from nearly 70% to 68%, describing the decline as a significant achievement.

Referring to ongoing reforms at the FBR, he said changes were being implemented in administrative processes, human resource management, and technology systems to enhance efficiency and revenue collection.

He maintained that future revenue objectives remained achievable through improved enforcement and compliance measures rather than the imposition of new taxes.

The minister further said that recoveries worth hundreds of billions of rupees had been secured over the past two years through the resolution of long-standing litigation cases, acknowledging the contribution of legal and revenue authorities in the process.

Expressing optimism about the country's economic direction, Aurangzeb said the continuation of reform measures would help sustain stability and growth, emphasizing the need for collective efforts to maintain economic progress.

He also commended MNA Mobeen Arif for his performance in the Finance Committee during the last fiscal year and encouraged him to rejoin the committee.

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