KARACHI: City Mayor Wasim Akhtar presented on Thursday a Rs26.438 billion surplus budget of the municipal administration for the financial year 2019-20 in a meeting of the Council of Karachi Metropolitan Corporation.
The budget outlay is Rs26,449 million, with the expenditures estimated as Rs26,438m, targeting a Rs10.937m surplus. The KMC has proposed an allocation of Rs9.47bn for various development schemes.
The budget meeting would resume on Friday (today) at 2.30pm after which the council will give its approval to the next budget of the KMC.
KMC proposes an allocation of Rs9.47bn for various development schemes
Total receipts in the budget for 2019-20 are Rs26,449.825m, including Rs20,374.087m as current receipts and Rs1,734.426m as capital receipts. Funds for the provincial annual development programme (ADP) and district ADP will be Rs4,341.312m.
The total expenditure for the next fiscal year will be Rs26,438.888m, of which Rs14,462.326m is allocated for the establishment; Rs2,280.905m for contingent expenses and Rs222.040m for repair and maintenance. Besides, Rs5,132.305m has been earmarked for development projects and works, while expenditures from the provincial ADP and district ADP will be Rs4,341.312m. Grants from the government are estimated at Rs12.938.437m and the provincial ADP and district ADP are Rs4,341.312m.
Revenue from land and other departments is estimated as Rs1,591.326m and from MUCT it is Rs1,152.56m, whereas dues of the KMC against K-Electric are Rs4,409.04m.
The KMC allocated Rs3,334m for 700 development projects in the next fiscal year, of which Rs1,697.7m is allocated for 494 infrastructure (roads) projects and for 10 municipal services projects Rs42.65m, for seven transport and communication works Rs35m, for 62 health projects Rs270.1m, for 103 projects of culture and tourism Rs403.5m, for eight information technology projects Rs45.05m and for new schemes Rs833.5m is allocated in the budget for 2019-20.
Budget cut blamed on provincial govt
Giving details of the budget, the mayor said the KMC budget was reduced due to curtailment of Rs1.67bn by the provincial government which was made despite an increase of Rs2bn in the NFC Award.
“The Sindh government curtailed the development budget despite [the fact] it collected revenue amounting to Rs300bn to Rs400bn in Karachi,” he said and added that it was hard to prepare the budget due to financial constraints and limited resources as even staff salaries were difficult to pay.
The mayor said that in the current financial year 134 projects were completed and 134 could not be completed due to the non-release of the fourth quarter of the annual development programme.
“In the current year the Sindh government allocated Rs5bn for the ADP, but it released only Rs2.5bn to the KMC.”
He said that the municipal administration had included 401 schemes in the last budget but only 64 of them could be finished due to the non-release of funds.
Mr Akhtar said that despite the decrease in the ADP funds from Rs5bn to Rs3.33bn, the municipal administration carried out the most urgent works in the city to provide immediate relief to citizens.
He also gave details of various development works which have been carried out during the current fiscal year in the city.
Deputy Mayor Syed Arshad Hasan and Metropolitan Commissioner Dr Syed Saif-ur-Rehman were also present on the occasion.
Published in Dawn, June 28th, 2019