Rs 1.324tr development budget focusses less-developed regions.
ISLAMABAD: Pursuing an approach of balanced development across the country to help promote harmony and national integration, the government on Friday unveiled Rs 1.324 trillion Public Sector Development Programme (PSDP) for the fiscal year 2020-21, with special focus on under and less developed areas.
Out of the total PSDP outlay, Rs 650 billion have been set aside for the federal PSDP whereas a sum of Rs 674 billion has been allocated for the provinces, according to budget document.
The National Economic Council (NEC) approved the PSDP allocations on June 10, with foreign assistance of Rs222.47 billion. "The PSDP 2020-21 has been prepared under challenging times, addressing key priorities of the government as well as Covid response needs," according to the budgetary document, which has been finalized by the Ministry of Planning, Development and Reforms through an extensive consultative and participatory process.
For the upcoming fiscal year, the challenges emanating from Covid-19 enhances importance of public investment to trigger job creation, reviving economic activity and at the same time alleviating poverty. A special programme to mitigate Covid-19 impact, with an outlay of Rs 70 billion, will focus on education, sewerage, solid waste management, clean drinking water and upgrading existing health facilities. This will be executed in collaboration with provincial and areas governments.
The China-Pakistan Economic Corridor (CPEC) continued to remain in focus and projects had been fully funded while special funds have been kept for railways, water resource projects and housing sector. Meanwhile, out of total Rs650 billion federal PSDP, the government allocated Rs 418.675 billion for federal ministries, Rs 158.324 billion for corporations including National Highway Authority (Rs 118.67 billion) and PEPCO (Rs 39.64 billion), Rs 3 billion for Earthquake Reconstruction and Rehabilitation Authority (ERRA), and Rs 70 billion for COVID-19 Responsive and other natural calamities programme.
Out of total outlay, the government proposed an allocation of Rs 81.25 billion for water resource division, Rs 1.32 billion for Aviation Division, Rs80 million for Board of Investment, Rs 47.8 billion for Cabinet Division, Rs 5 billion for...
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