Govt presents Rs 3.792 trillion national development plan for FY 2024-25

ISLAMABAD: The federal government has proposed a national development plan worth Rs 3.792 trillion for the next fiscal year, as approved earlier by the National Economic Council (NEC). This is a significant increase from the Rs 2.393 trillion allocated for the federal and provincial Public Sector Development Programme (PSDP) in the outgoing fiscal year.

According to budget documents, the government has allocated Rs 1.4 trillion for the federal development plan (PSDP), compared to the Rs 659 billion revised allocation for the outgoing financial year, marking a 112 percent increase. The initial allocation for the federal PSDP in the outgoing year was Rs 590 billion, which was later revised upward to Rs 659 billion.

The documents indicate that the federal development programme has actually increased to Rs 1.5 trillion, with an additional Rs 100 billion allocated for public-private partnership (PPP) projects. An additional Rs 196.83 billion is estimated to be invested by state-owned entities in development activities, bringing the total size of the federal development plan to Rs 1.696 trillion.

For the provincial development plan in 2024-25, the government has allocated Rs 2.095 trillion, up from the Rs 1.559 trillion revised PSDP for the outgoing fiscal year. This brings the total development outlay of federal and provincial governments to Rs 3.792 trillion.

In the federal PSDP 2024-25, Rs 356.22 billion have been allocated for different corporations, including the National Highway Authority (NHA) and NTDC/PEPCO, with Rs 180.28 billion and Rs 175.9 billion, respectively.

The PSDP for the next fiscal year includes an allocation of Rs 1.039 trillion for federal ministries and divisions, compared to Rs 459 billion in the outgoing year, reflecting over a 100 percent increase.

As per the documents, the following allocations have been made:

•         Rs 7.3 billion for the Aviation Division
•         Rs 1.65 billion for the Board of Investment
•         Rs 75.7 billion for the Cabinet Division
•         Rs 6.2 billion for the Climate Change Division
•         Rs 2.2 billion for the Commerce Division
•         Rs 728 million for the Communication Division (other than NHA)

Further allocations include:

•         Rs 5.6 billion for the Defence Division
•         Rs 3.7 billion for the Defence Production Division
•         Rs 921 million for the Establishment Division
•         Rs 25.7 billion for the Federal Education Division
•         Rs 6 billion for the Finance Division
•         Rs 66.315 billion for the Higher Education Commission
•         Rs 27.6 billion for Housing and Works
•         Rs 104 million for Human Rights
•         Rs 4.9 billion for Industries and Production Division

For other key sectors:

•         Rs 28.9 billion for Information Technology
•         Rs 41.2 billion for National Food Security and Research
•         Rs 27 billion for National Health Services
•         Rs 25 billion for Pakistan Atomic Energy Commission
•         Rs 3.2 billion for Petroleum Division
•         Rs 60 billion for Planning and Development
•         Rs 45 billion for Railways
•         Rs 17.6 billion for Revenue Division
•         Rs 7.1 billion for Science and Technology
•         Rs 35.6 billion for SUPARCO
•         Rs 259.5 billion for Water Resources
•         Rs 74.5 billion for Special Areas (AJK and GB)
•         Rs 80.4 billion for Provincial projects and merged districts of KP
•         Rs 70 billion for merged districts of KP