ISLAMABAD – Federal Finance Minister Muhammad Aurangzeb introduced the finance bill for the upcoming fiscal year 2024-25 during the National Assembly session today.
Earlier today, the federal cabinet approved the budget proposals included in the Finance Bill 2024.
In the budget, a significant portion, amounting to Rs2122 billion, allocated for defense expenditures. Additionally, Rs970 million earmarked for interest payments on loans. For development initiatives in the next fiscal year, the government plans to allocate Rs1500 billion.
The Rs2122 billion allocated for defense marks a 19.29% increase from the Rs1804 billion set aside in the 2023-24 budget.
Historically, the defense budget has seen the following allocations: Rs920 billion in 2017-18, Rs1100 billion in 2018-19, Rs1153 billion in 2019-20, Rs1289 billion in 2020-21, Rs1370 billion in 2021-22, and Rs1563 billion in 2022-23.
According to media reports, the government has proposed Rs5.63 billion for the Ministry of Defence’s development projects in the forthcoming budget. This allocation covers 29 essential projects, emphasizing the government’s focus on enhancing military infrastructure and technology. Of this, Rs3.92 billion is allocated to nine ongoing projects within the Ministry of Defence, critical for maintaining and upgrading existing systems.
A notable Rs1.7 billion is designated for 20 new initiatives aimed at addressing emerging security needs and advancing defense capabilities. Included in this amount is Rs400 million for drone procurement, intended for law enforcement and emergency search and rescue operations, showcasing the government’s push towards modernizing defense tools.
Moreover, Rs620 million is set aside for acquiring land to establish a Medical City, aimed at improving healthcare services for defense personnel and their families.
Furthermore, Rs860 million is allocated for the National Aerospace Science and Technology Pak Aviation City in Pakistan
