Budget 2020-21: Amount allocated to Net Capital Receipts increased by 31%

June 12, 2020 (MLN): The total amount allocated for Total Capital Receipts, which is the sum of Recoveries of Loans & Advances and Capital Receipts, in the Federal Budget for the Fiscal Year 2020-21 totals 1.54 trillion, i.e. nearly 30.9 percent higher as compared to the revised figures of the previous budget.

According to the official document issued by the Finance Ministry, the Net Capital Receipts, after taking into account Disbursements of Rs. 78.4 billion, amount to Rs. 1.46 trillion. This figure is nearly 51.3 percent higher than the revised values given in the previous budget.

The Capital Receipts comprise of mainly two components, i.e. Public Debt Net and Public Account, both of which have been allocated amounts of Rs. 1.178 trillion and Rs. 215.6 billion, respectively.

The Public Debt Net itself entails two sections, i.e. Permanent Debt and Floating Debt. The former comprises Pakistan Investment Bonds (Rs. 400 billion), Ijaras (Rs. 450 billion), and Premium Prize Bonds (15 billion), amongst others. On the other hand, Floating Debt comprises of Treasury Bills (Rs. 400 billion).

The Public Account contains National Saving Schemes (Rs. 223.2 billion), G.P Fund (Rs. 4 billion), and Net Deposits.

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