Govt seeks National Assembly approval for Rs345 billion in unapproved spending

The government has requested approval from the National Assembly for nearly Rs345 billion in additional spending incurred during the current fiscal year without prior parliamentary approval. The expenditures span various sectors, including power sector subsidies, defence funding, and several infrastructure projects, The Express Tribune reported. 

Much of the additional spending was reallocated from other budgetary areas, reflecting concerns over financial control and planning. 

The Rs345 billion figure, while substantial, is lower than the previous fiscal year’s supplementary spending. Under the Constitution, the federal government can approve supplementary grants for unforeseen expenses without prior National Assembly approval, though they must seek post-approval following the same process as the new budget.

The International Monetary Fund (IMF), under the country’s $7 billion bailout agreement, has emphasised fiscal discipline, discouraging supplementary grants through internal reallocations unless necessary for natural disasters.

The largest portion of the supplementary grants was dedicated to power sector subsidies, which amounted to Rs115 billion. Other allocations include funding for the armed forces, the Shanghai Cooperation Organisation (SCO) summit, and various discretionary programs for parliamentarians and civil armed forces. The armed forces received Rs59.5 billion, with a focus on counter-terrorism and military infrastructure projects.

Finance Minister Muhammad Aurangzeb clarified that no war-related expenses with India were included in the accounts. A supplementary grant of Rs60 billion was allocated for defence, though it was unrelated to any conflict with India. Pakistan’s armed forces met such expenses through their regular approved budgets.

Additional funds were approved for infrastructure projects, including the Reko Diq mining project and the development of a naval air station in Turbat. The government also allocated Rs30 billion for flood relief in Sindh and Rs7 billion for parliamentarians’ schemes.

Despite concerns over the country’s budgetary discipline, the finance ministry’s budget documents outline extensive spending on security, development, and foreign policy initiatives, with a particular focus on military and infrastructure priorities.