Budget, Thank for make me “Fool again”

Column of the day

ASHFAQ REHMANI
pasrurmedia@hotmail.com

Federal Budget 2009-10 envisaging a total outlay of Rs2.482 billion has been presented.
State Minister for Finance and Economic Affairs Hina Rabbani Khar presented the
Federal Budget 2009-10 in which 15 percent raise has been announced in the salaries and
pension of in-service and retired government employees. The target of GDP for the next
fiscal year has been fixed at 3.3 percent while measures will be adopted for bringing the
inflation rate below 10 percent. The State Minister said the total allocation for Public
Sector Development Program (PSDP) has been made at Rs646 billion; Rs 343 billion for
Defenses Rs31.60 billion for education sector and; Rs6.5 billion for health. The allocation
for Benazir Income Support Program has been raised to Rs70 billion which will be
distributed among 5 million deserving people. Rs50 billion have been earmarked for the
relief and rehabilitation of affected of Malakand Division. In order to impart training to
the youth under National Internship Program Rs3.60 billion have been allocated. Under
the program 30,000 youth will be provided professional training in their respective fields.
The target for tax revenue collection has been raised by 15.7 percent to 1.3775 trillion
while the rest of the expenditure will be met through foreign loans and grants. Rs178
billion are expected to be received through Friends of Pakistan Consortium. The fiscal
deficit is expected at 4.9 percent for the next fiscal year. Increase in the allowance has
been announced for the armed forces deployed on the western front. This allowance will
be equal to one month’s initial basic pay with effect from 1st July 2009, as announced by
the President of Pakistan.
Budget, generally refers to a list of all planned expenses and revenues. It is a plan for
saving and spending. A budget is an important concept in micreeconomics which uses a
budget lines to illustrate the trade-offs between two or more goods. In other terms, a
budget is an organizational plan stated in monetary terms.

In summary, the purpose of budgeting is to:

1. Provide a forecast of revenues and expenditures i.e. construct a model of how our
business might perform financially speaking if certain strategies, events and plans
are carried out.
2. Enable the actual financial operation of the business to be measured against the
forecast.

Dear Reader, After Federal Budget, our “Lala Jee” says, well, it’s like all other budgets
with no difference to other governments' strategies. They claim to take Pakistan into
developed nations. Just how false they are, it can be seen by the spending in two most
important sectors--health and education. Recently, energy sector has shown some
improvement, but its not enough. One good move is the removal of duty on the wind
powered electric plants. Same should be the strategy on the solar panels and the
government should set up a fund to help the entrepreneurs in entering in this field by
setting up small scale power plants. European free energy market can be used as a model.
When will our leaders start learning from fast changing things in the rest of the world?
Lala Jee also says, it’s eyewash by government, 15 percent increment in govt. employee’s
salaries, so one who had 5000 basic salary would get increment of Ra750. However, that
GST previously was raised from 15% to 21%, so all the increment is already going back
in to government pockets. Income tax too increased from 5% fixed to variable rate, with
tax on luxury items such as soap shampoo, TV, washing machine etc. The government
advocates its achievements that it declined inflation, from last year, which went up that
high last year as well ( not in the years before). I request Media to give some inflation
graph of past ten years so that we can see the real progress. Furthermore, where other
governments like U.K give subsidy to farmers, our caring government is planning to put
tax on it as well. Previous government was giving subsidy around Rs50 / 60 per liter on
patrol and on electricity as well. However, this government ashamedly proclaims, that it
cannot give subsidy on electricity, and still charging more than 20 rupees / liter on petrol.
Its like government is taking subsidy from us.
I just wanted to say that whatever we produce suggestions or views about this budget is
of no worth. We are just wasting our time. I think most of the people posting comments
do know at least about its basics. The Govt. officials presented this in their best capability
so by grading them or posting the comments we can't alter their thinking so shortly.
Posting the comments is of NO WORTH. They are just the bunkers not bankers.
In “Adbi Bathik” Al Hamra Art council The mall Lahore, Lala Jee ask me, Mr. Rehmani,
They are giving from right hand and taking from left hand combined with mouth and two
legs. No relief for the industries. Can we make progress without industries?
What was different this time, what was the achievement and what was new. Simply
eyewash. I am surprised by raise in medicine prices, where a part of the nation is
suffering from bombardment, diseases, how can you raise the prices of medicines.15%
increment in pays is just a bean to finish the hunger. But what's the use of all this now.
Budget great! It is very nice and very easy to make someone foolish, but those, who are
educated, know about the governments' jugglery. I suggest the pillars of Pakistan’s
present Government and other politicians, who do not obey rules and regulations of Allah
(SWT) which are available in Holy Quran, in resultant they collapsed and God send other
nations in their place. Don't forget the Day of Judgment, when Allah (SWT) will describe
everything, which they are hiding and there will be no place to hide and not a single word
for jugglery.
I want to draw your attention towards the deficit amount in 2009-10. The question is why
the amount is so huge despite we are getting the aid from friends of Pakistan in bulk, then
why we make deficit in the budget. There is increase in taxes of gas, electricity etc., it
means we are making the communication back to initial point. There is no announcement
about the monitoring of aid to the Swat victims. Now industrial sector was ignored, as no
incentives given in the budget. The inflation rate has increased, but the salaries of the
employees didn't increase by that ratio.