Summary of Pakistan Federal Budget 2023-24

Summary of Pakistan Federal Budget 2023-24

The Federal Government of Pakistan budget is passed for 14.46 Trillion rupees on the 9th of June 2023.

The economic growth for the year 2023-24 is estimated at the rate of 3.5%.

Similarly, the inflation rate is also estimated at an average rate of 21%.

To enhance tax collection, the tax-to-GDP ratio is fixed at 8.7%.

Moreover, the current account deficit will be almost dollar 6 billion at the end of the year 2023-24.

Further, rupees 761 billion are also fixed for the pension of federal employees. It shows the huge amount allocated for pensioners.

In addition, rupees 30 billion is allocated to provide solar facilities to almost 50000 agriculture tubewell.

Most importantly, rupees 1800 billion are allocated for the defense sector of Pakistan which is a huge percentage of the budget.

Similarly, 1.1 trillion rupees are also reserved for subsidies for different commodities and necessities goods.

Further for the health sector rupees 22.7 billion are allocated in budget 2023-24.

For public sector development projects a considerable amount of rupees 950 billion is reserved.

A special subsidy is reserved for importing Urea and the amount is rupees 6 billion rupees.

35% adhoc relief allowance is announced for federal employees from grade 1 to 16.

Similarly, 30% increase in ad-hoc relief allowance for employees from grade 17 to 22.

Furthermore, a 17.5% increase in federal government employees is also announced for the year 2023-24.

For students, rupees 10 billion is allocated to provide 100,000 laptops to students.

Increase in Benazir Income Support Programme allocation from Rs400 billion to Rs450 billion.

Related: Federal Employees Salary increase budget 2023-24

وفاقی ملازمین کی تنخواہوں میں 35 فیصد اضافہ

وفاقی ملازمین کی تنخواہوں میں 35 فیصد اضافہ

Increase in Federal Employees Salary 2023-24 Budget
Increase in Federal Employees Salary 2023-24 Budget

وفاقی حکومت نے وفاقی سرکاری ملازمین کی تنخواہوں میں اضافے کا اعلان کر دیا۔ حکومت نے وفاقی حکومت کے پنشنرز کی پنشن میں اضافے کا اعلان بھی کیا ہے۔

35 گریڈ 1-16 کے ملازمین کی تنخواہوں میں اضافہ

وفاقی حکومت نے وفاقی ملازمین کی تنخواہوں میں 35 فیصد اضافہ کر دیا۔ سوکریس کے مطابق یہ 35 فیصد ایڈہاک ریلیف الاؤنس ہے جو 2022 کے چلتے ہوئے بنیادی یا پے سکیلز پر بڑھایا گیا ہے۔ اس طرح اس اضافے سے وفاقی سرکاری ملازمین میں خوشی کی لہر دوڑ گئی ہے کیونکہ افراط زر کی شرح بہت زیادہ ہے.

گریڈ 17-22 کے ملازمین کی تنخواہوں میں اضافہ

گریڈ 1 سے 16 تک کے ملازمین کی طرح وفاقی حکومت نے بھی گریڈ 17 اور 22 کے ملازمین کی تنخواہوں میں اضافہ کر دیا ہے۔
sources کے مطابق 2023-24 کے بجٹ میں ان کی تنخواہ میں 30 فیصد اضافہ ہوا ہے۔ یہ 17 گریڈ سے اوپر کے ملازمین کی تنخواہوں میں بھی بڑا اضافہ ہے۔
اس لیے 17 گریڈ سے اوپر کے ملازمین بھی اس خاطر خواہ اضافے سے خوش دکھائی دیتے ہیں۔

وفاقی ملازمین کی پنشن میں اضافہ

ذرائع کے مطابق وفاقی سرکاری ملازمین کی پنشن میں ساڑھے 17 فیصد اضافہ ہوا ہے۔ اس لیے یہ اضافہ وفاقی حکومت کے پنشنرز کے لیے بھی سازگار ہے۔ کیونکہ پاکستان میں موجودہ مہنگائی کی شرح بہت زیادہ ہے اور سرکاری ملازمین خاص طور پر پنشنرز ابتر حالت میں زندگی گزار رہے ہیں۔

Federal Budget 2023-24 New Taxes

Federal Budget 2023-24 New Taxes – The federal government along with FBR is planning for imposition of new taxes and lavies in different sectors. Especially, the next year target of FBR is collect billion of rupees extra tax from different heads. In this way, the new year budget 2023-24 will impose new and extra taxes on the common people.

Tax on Ciggerette

Few months before the Federal Government has imposed billions of rupees taxes on the cigerette industry which resulted in the bad situation for collection of taxes and lavies from cigerette sector. As a result, the prices of cigerette were enhanced upto 400% and 500%. This dilemma further reduced the sale of cigerette due to high prices of cigerette. So, again Government has withdraw its order

The Finance Department, Government of Pakistan is going to present the Federal Government Budget for the year 2023-24 on 9th of June 2023. The Federal Employees are hoping for a great news regarding the increase in their pay and allowances i.e. in the shape of Adhoc Relief Allowance 2023.

Increase in Salary of Federal Employees

There are good news regarding the increase in the pay and allowances of Federal employees. According Finance Department sources, there may be increase upto 30% in the basic pay of Federal Employees from Grade 1 to 16. Similarly, there may be increase of 10% to 15% or 15% to 20% in the basic salary of federal employees from grade 17 to 22.

Gross Domestic Product (GDP) is a commonly used economic indicator that measures the total value of all final goods and services produced within a country’s borders during a specific period. It provides a snapshot of an economy’s economic activity and size.

GDP can be calculated using three Different Approaches:

  1. Production Approach: This approach calculates GDP by summing up the value added at each production stage across all industries. It measures the value of goods and services produced within the country’s borders.
  2. Expenditure Approach: This approach calculates GDP by summing up the total spending on goods and services within the economy. It considers four main components of expenditure: consumption, investment, government spending, and net exports (exports minus imports).
  3. Income Approach: This approach calculates GDP by summing up the incomes individuals and businesses earn in production. It includes wages, salaries, profits, rents, and other forms of income.

GDP provides a way to compare different countries economic performance and size. It is often used as a key indicator to monitor economic growth, track living standard changes, and analyze an economy’s overall health. However, it is important to note that GDP alone does not capture all aspects of economic well-being, such as income distribution, environmental sustainability, or quality of life.

Also Read: Poverty in 2023

Factors Affecting Gross Domestic Product (GDP)

Several factors can affect Gross Domestic Product (GDP). These factors can be categorized into two main groups: demand-side factors and supply-side factors. Here are some key factors that influence GDP:

Demand-Side Factors Affecting Gross domestic product (GDP):

  1. Consumer spending: Consumer spending is a major driver of economic activity and can significantly impact GDP. When consumers increase their spending on goods and services, it leads to higher demand and production, thus boosting GDP.
  2. Investment: Business investment in machinery, equipment, and infrastructure can stimulate economic growth. Increased investment leads to higher productivity, job creation, and expansion of industries, contributing to GDP growth.
  3. Government spending: Government expenditures on public goods and services, such as infrastructure projects, defense, healthcare, and education, can directly influence GDP. Government spending can stimulate economic activity and employment.
  4. Net exports: The difference between exports and imports (net exports) affects GDP. Higher exports than imports (trade surplus) contribute positively to GDP, while higher imports than exports (trade deficit) can have a negative impact on GDP.

Supply-Side Factors Gross Domestic Product (GDP):

  1. Labor force and productivity: The size and productivity of the labor force play a crucial role in economic output. Increases in the labor force through population growth or higher participation rates can contribute to GDP growth. Similarly, productivity improvements achieved through technological advancements or better skills can enhance economic output.
  2. Technological progress and innovation: Technological advancements can increase productivity, efficiency, and economic growth. Investments in research and development, new technologies, and the adoption of innovative processes can positively impact GDP.
  3. Natural resources: The availability and utilization of natural resources can influence economic output. Countries rich in natural resources, such as oil, minerals, or agricultural land, can experience higher GDP growth if those resources are effectively utilized.
  4. Government policies: Government policies, such as fiscal and monetary policies, taxation, regulations, and trade policies, can shape economic activity and impact GDP. Well-designed policies that promote investment, entrepreneurship, and market competitiveness can foster economic growth.
Gross Domestic Product GDP


It’s important to note that these factors interact, and changes in one factor can have ripple effects on others, influencing GDP growth in complex ways.

According to the World famous financial analyst organizations, the 2023 annual poverty threshold for a family of three increased by $1,830 from $23,030 to $24,860.

It shows the living conditions of the people, because they are living from hand to mouth.

The living condition of the people is due to the ongoing war between Russia and Ukraine.

Poverty Index in 2023

The global poverty index is showing a dismal situations of the world economy. Especially, the people from the developing states are facing lots of problems and financial constraints due to various factors at the world level conflicts.