LAHORE: Notwithstanding opposition by its finance managers, the Nawaz government is likely to introduce some “pro-people” measures in the budget to prove its claims that the economy has improved during the two-year PML-N rule.

A federal cabinet member told Dawn on Sunday that Prime Minister Nawaz Sharif has sought introduction of interest-free loans in agriculture sector, low-cost housing and revision of pay-scales of government employees in the federal budget to be presented this week, while the finance ministry is opposing the move.

The minister quoted Mr Sharif as arguing that if the government claimed improvement in the economic sector because of its efforts during the last two years then veracity of the claim should be made visible by extending benefits of this growth to the people.

Also read: Cabinet approves Budget Strategy Paper 2015-16‏

Feeling that no worthwhile initiative had been taken in the agriculture sector, the prime minister wanted to introduce an interest-free loan scheme for small growers, he said.

For the urban poor, he said, Mr Sharif is planning a low-cost housing project as some developers of international repute had told him at a meeting in Raiwind the previous Sunday that it was possible to build a housing unit at Rs1 million.

The PM overruled a suggestion by the finance managers that the government should seek some financial guarantee from those desirous of availing the scheme. “Had they been holding the money sufficient to serve as a financial guarantee they would have built their own houses or at least bought a plot with this amount,” Mr Sharif was quoted by the minister as telling his finance gurus.

During his previous tenure also, Nawaz Sharif had introduced the Prime Minister’s Housing Scheme, offering flats to the people through balloting.

The prime minister has also directed revision of pay-scales of government employees to provide a long-term benefit to them instead of just giving them a raise in salaries.

Finance Minister Ishaq Dar has formed a committee to formulate a policy in this respect before the budget, it has been learnt.

Federal Minister for Climate Change Senator Mushahidullah Khan, talking to Dawn, confirmed that work was in progress to launch these three initiatives.

Published in Dawn, June 1st, 2015

On a mobile phone? Get the Dawn Mobile App: Apple Store | Google Play