Govt to present budget next week

Islamabad: In a budget preview report by Topline Securities, it is anticipated that the coalition government is likely to present a budget ranging from Rs13-15 trillion for the fiscal year 2023-24.

The government aims to set a tax collection target of Rs 9-9.2 trillion, a 21% increase compared to the target set for the current fiscal year.

Amidst stagflation and uncertainties surrounding upcoming elections and external account funding, the budget poses challenges for the government.

The report highlights the nervousness in currency, bond, and stock markets due to uncertainties in financing the US dollar funding gap.

Revenue targets in the past have varied from actual figures, and the report expects a similar trend in FY24 due to the economic slowdown.

The non-tax revenue target for FY24 is estimated at Rs2.5 trillion, with the prediction of various taxation measures including a tax on undistributed reserves, continuation of super tax, and higher tax on non-filers.

Federal Public Sector Development Programme (PSDP) is expected to be at Rs0.9 trillion for FY24, but major cuts are likely due to fiscal constraints.