Finance Minister Shuakat Tarin has presented PKR 8.495Tn spending-led outlay for FY22 designed to achieve 6-7% GDP growth in next two to three years 4.8% for FY22 by facilitating auto, telecom, and agriculture as well small and medium enterprises for job creation amid roaring protest from the opposition. He said that a 40% increase on development outlay to PKR 900Bn from PKR 650Bn for FY21 would pave the way for much-needed growth. Gross revenue for FY21 has been estimated at PKR 7,909Bn, higher by 24% over PKR 6,395Bn, and FBR tax collection at PKR 5,829Bn from PKR 4,691Bn for FY21. The expenditures are estimated at PKR 8,495Bn against PKR 7,341Bn, up by 15% and subsides have been allocated at PKR 682Bn. Fiscal deficit is projected at 6.3% against the revised target of 7.3% for FY21. The finance minister said that minimum turnover threshold for cottage industry has been increased from PKR 3Mn to PKR 10Mn, local production of 850cc vehicles to be exempted from FED and sales tax is being reduced from 17% to 12.5% and value-added tax is being removed.
12/6/2021