"Describing Pakistan’s Federal Budget 2023-24 as an IELTS Candidate"
Published on: November 07, 2023
This blog is written by:
Sadia Khan (Masters student at University of Narowal, Narowal, Pakistan)
Saira Yasmin (Master's student at National University of Science and Technology (NUST), Islamabad, Pakistan)
The government of Pakistan's budget for the years 2023–24 is depicted, percentage wise, in the two pie charts. It provides details on money supply and its intended use.
(Source: Brecorder)
Overall, net revenue (tax and non-tax) recipient plays the biggest part in the budget, while privatization has the least contribution in the resources. The largest segment of expenses is taken by interest payments, while pensions have the least contribution to expenses.
The government has a total amount of 14.46 trillion, and its major part is sourced from net revenue receipts, which is 48%. Secondly, 22% came from bank borrowing and 13% from non-bank borrowing. The lowest contribution is made by privatization. Net external receipts supply 17% of the total budget.
As we look at the expense chart, the largest portion of money will be spent on interest payments which make up more than half of the budget, 51%. After the remaining amount, 12 % will be given for defense affairs and services. 10% of the total budget will be granted to the provinces. Civil government and emergency provision get 8%. Pensions, development spending and net lending will account for almost 11% of expenses.
A thorough analysis of the funding sources and spending categories provides crucial information for policymakers. It emphasizes the necessity of strategic financial planning to maximize income creation, reduce excessive interest payments, and guarantee equitable distributions among essential sectors. In the formulation of future budgets, achieving economic viability and effective resource utilization continue to be significant challenges requiring careful attention and responsible choices.