IN ISLAMABAD: The announcement of Pakistan's federal budget 2024-25 has stirred significant controversy and discussion, particularly regarding salary increases for federal government employees. Finance Minister Muhammad Aurangzeb unveiled a Rs18.877 trillion ($67.76 billion) budget, setting ambitious revenue collection targets and making crucial decisions impacting government employees' pay. The basic pay scale chart was announced this year on budget day. Know this with Faisalabad realtors

Federal Government Employee Salaries and Pensions 

One of the most awaited aspects of the budget was the salary increments for federal government employees. Amid economic challenges, the government announced a modest salary increase, aiming to alleviate the financial burden on employees. The increment comes as part of broader efforts to stabilize the economy and support public sector workers. Additionally, the budget includes provisions for pension adjustments, which have been integrated into the federal government pension calculator, ensuring retirees receive their dues promptly and accurately. 


In the lead-up to the announcement, the Minister of Finance had revealed an initial proposal to increase salaries for government employees by 15% to 20%. Furthermore, significant increases in monetization for bureaucrats were proposed, with officers up to grade 20 seeing their allowances rise from Rs. 65,000 to Rs. 105,000, grade 21 officers from Rs. 75,000 to Rs. 120,000, and grade 22 officers from Rs. 95,000 to Rs. 155,000. Additionally, a 200% increase in medical and conveyance allowances for employees in grades 1 to 16 and similar increases for grades 17 to 18 were proposed. 

Punjab Budget 2023-24: Focus on Salary Increases 

In Punjab, the largest province by population, the provincial budget echoed the federal government's decisions. The Punjab budget for 2023-24 also featured salary increases for provincial government employees. These increments are designed to keep pace with inflation and the rising cost of living, reflecting the government's commitment to improving public sector compensation despite fiscal constraints. DC salary in Pakistan announced. 

Controversies and Opposition Reactions 

Despite these positive steps, the budget has faced severe criticism from opposition lawmakers. Omar Ayub Khan, the leader of the opposition in the National Assembly, has vehemently opposed the budget, calling it "fake" and "unconstitutional." He argued that the government failed to provide essential budget documents for review and accused it of potentially altering figures. These allegations cast a shadow over the budget's credibility, especially concerning the reported economic growth rates. 

Economic Indicators and Public Concerns 

The government reported a GDP growth of 2.38%, with the agriculture sector growing by 6.25% and the industrial and services sectors each by 2.1%. However, these figures have been disputed by the opposition, who claim they do not reflect the true state of the economy. Meanwhile, Finance Minister Aurangzeb defended the budget, highlighting the stabilization of Pakistan's reserves and overall economic improvement. 

Salaries in Context: DC Salary and Average Income 

In the broader context of salaries in Pakistan, the budget's salary increases must be viewed alongside existing salary structures. The District Commissioner (DC) salary in Pakistan and the average salary across various sectors provide a benchmark for evaluating the impact of these increments. While the average salary in Pakistan varies widely by industry and region, government salary adjustments are crucial in setting standards and expectations. 

Public Sentiment and Future Implications 

Public sentiment, as echoed by lawmakers like Shandana Gulzar Khan of the Sunni Ittehad Council (SIC), suggests that the budget could have done more to benefit the general populace. Gulzar Khan criticized the heavy taxes imposed and urged that taxpayers should see tangible benefits such as improved education, food security, and healthcare. 

As Pakistan navigates its economic challenges, the 2023-24 budget's salary increases for federal and provincial employees represent a step towards economic relief. However, the opposition's rejection and allegations highlight the ongoing political and economic tensions. The budget's success in addressing these issues will be critical in shaping Pakistan's economic future and public confidence. 

 

Pakistan Budget 2024-25: Expectations and Proposals 


The federal budget for the fiscal year 2024-25 is scheduled to be presented on June 12, 2024. This budget, set to be around Rs.18 trillion, is crucial for the new Sharif government and will run from July to June. The session will resume on June 20, after a break for Eid Azha, with discussions and approvals continuing until the end of June. Know about the increase in tax rate in Pakistan budget 2024-2025


The government aims to boost economic growth to 3.6% from the previous 2.38% and improve the tax-to-GDP ratio by enhancing direct taxes while reducing indirect taxes. These measures are expected to trigger investment and support higher economic activity. The Annual Plan Coordination Committee has also cleared a National Development Plan, including a federal public sector development program of Rs. 1.221 trillion. 

In the lead-up to the budget, a proposal to increase federal government employee salaries by 15% to 20% has been suggested, with significant hikes in monetization for higher-grade officers. These proposed increases reflect the government's focus on income generation and expenditure cuts to reduce budget deficits. 


The success of these measures will be pivotal in achieving potential savings and broadening the tax base, which is essential for Pakistan's economic stability and growth. Average salary in Pakistan varies according to the different regions. Salary increase in budget 2023-24 Pakistan was announced last year. Punjab budget 2023-24 salary increase was also good which was announced last year on budget day on the basic pay scale chart. 


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