Last Updated on: 21st July 2023, 04:50 pm
Finance Minister Ishaq Dar Presents Budget 2023-24 Pakistan
Federal Finance and Revenue Minister Ishaq Dar presented the 2023-24 budget to the National Assembly on Friday.
He first recalled the economic advances made during the tenures of previous governments and drew comparisons of the policies implemented during that period.
Current Account And Trade Deficit
Dar said the current account deficit will narrow to $4 billion from $17.5 billion. By stopping imports of luxury items, the trade deficit has been reduced by 26%, it said.
IMF
Dar said the country has avoided a default and talks are underway with the International Monetary Fund (IMF). The government is working to respond to requests from international lenders and hopes to reach an agreement on the staff soon.
IT
The government has proposed a generous tax rate of 0.25 on computer exports. The service will be available until June 30, 2026. The federal government has exempted the self-employed from paying sales tax for up to $24,000, which is a huge relief.
In the current fiscal year, the government will train 50,000 computer experts, the minister added.
Agri: Relief For Farmers
The federal government has increased the loan volume for farmers from 1,800 to 2,250 billion rupees, Dar said in his speech.
He announced that 50,000 crore rupees are earmarked for the conversion of 50,000 pipe wells into solar panels.
The government has eliminated all taxes and tariffs on seedlings, he added.
Dar also announced the elimination of all duties and levies on harvesters. The finance minister also said in his budget speech that 10,000 crore rupees are earmarked for loans to small farmers.
BISP
In a statement on the BISP scheme, he said the sum for the oppressed had been increased to Rs 450 billion from Rs 460 billion.
The government has spent 26,000 crore rupees on Utility Stores Corporation and also highlighted the achievements of POL’s record-breaking price cut last month.
It said $12 billion in foreign loans had been repaid on time to foreign lenders.
Empowerment Of Women And Entrepreneurship
The federal government has pledged 5,000 million rupees to women entrepreneurs for skills development.
In addition, the Government has allocated Rs 5,000 million for the Prime Minister’s Youth Skills Scheme.
Dar said the government has extended the tax break for real estate investment trusts (REITs) until June 30, 2024.
Diamond Card For Ex-pats
The government has scrapped the last 2% tax on buying real estate through remittances from abroad.
Ishaq Dar said Pakistanis abroad are given the “diamond card,” which allows them a non-banned gun license, a free passport, priority access to Pakistani embassies and consulates, expedited immigration, and big prizes thanks to a raffle.
Also Read: What Are The Tax Changes Expected in FY23 Budget?