QUETTA, June 21: Balochistan Finance Minister Syed Ehsan Shah will present the provincial budget for fiscal year 2005-06 in the Balochistan Assembly here on Wednesday. It is likely to be a deficit and tax-free budget with an outlay of Rs40 billion — around Rs3 billion less than last year’s budget.
The allocation for the annual development plan is learnt to be around Rs11 billion with the expected foreign assistance of Rs1.5 billion. The new ADP would be around Rs2 billion less than the current year’s.
The deficit is expected to be of Rs11 billion.
Balochistan would receive around Rs20.3 billion as its share from the federal resources in the new fiscal year in the absence of a fresh NFC award while a subvention of Rs5 billion to Rs6 billion is also expected from the federal government as a special grant to the province.
The provincial government is learnt to have decided not to levy any new tax in the budget even though it sorely needs more financial resources. However, increase in the existing tax rates for giving a boost to provincial finances cannot be ruled out.
According to sources, the government has decided to allocate over 70 per cent amount in the ADP for the completion of ongoing development projects.
