Balochistan Budget 2024-25 was presented on Friday by the PPP-led coalition government amidst an opposition boycott. The budget for the upcoming fiscal year amounts to Rs955.6 billion, with development expenditures projected at Rs321.2 billion and a projected cash surplus of Rs25.4 billion.
Revenue and Expenditures
Finance Minister Mir Shoaib Ahmed Nosherwani tabled the Balochistan Budget 2024-25, which is over 36% larger than the previous year’s estimate of Rs701.4 billion. This increase is primarily due to a projected 39% rise in federal tax divisible pool receipts, expected to reach Rs647 billion from Rs464.7 billion under the current National Finance Commission (NFC) arrangement. Additional receipts include Rs20.6 billion in straight transfers, Rs20 million in non-development grants, and Rs59.1 billion in development grants. The province also expects Rs47.7 billion from provincial taxes and Rs76.8 billion from provincial non-tax receipts. Foreign project assistance for development schemes is estimated at Rs10.9 billion, down from over Rs12 billion last year.
Current Revenue Expenditures
The Balochistan Budget 2024-25 reveals that current revenue expenditures will increase by more than 41%, reaching Rs564.9 billion. This surge is attributed to a sharp rise in pay and pension bills and increased security spending. Development expenses will see a modest rise to Rs321.2 billion from the current Rs313.3 billion.
Education Spending
Nosherwani emphasized the provincial government’s commitment under Article 25-A of the Constitution to enroll children aged five to 16 in primary and high school. The Balochistan Budget 2024-25 will create 535 new posts and fill 9,394 vacant posts from Grades 9 to 15 to address teacher shortages and operationalize non-functional schools. Rs3.5 billion from federal grants will improve education in 22 ‘backward’ districts, and Rs5 billion will support public sector universities facing financial crises. Additionally, Rs2 billion has been released for 11 struggling universities. The budget allocates Rs32 billion for higher education development and Rs114.8 billion for non-development spending.
Health Spending
The health sector in the Balochistan Budget 2024-25 will receive Rs67.3 billion for non-development expenditures, a 30% increase from the current year. Development spending is budgeted at Rs20 billion. The budget includes 242 new health sector posts. Rs1.3 billion is allocated for the Gwadar Pak-China Friendship Hospital’s operations under Indus Hospital’s management, and another Rs1.3 billion for pediatric oncology services. Three main hospitals will gain autonomy, and a Gambat-like liver transplant hospital will be established in Nasirabad.
Climate Change Initiatives
The Balochistan Budget 2024-25 addresses climate change with various plans to mitigate its impact. These include rehabilitating flood-stricken people and improving the Hairdin drainage system. Rs10 billion is allocated under the Green Balochistan Initiative, and the Disaster Management Authority’s grant has increased to Rs7.9 billion.
Law and Order Budget
The budget allocates Rs93.1 billion for law and order and safety affairs. This includes Rs74 billion for the police, Levies Force, and Balochistan Constabulary. The Gwadar Safe City project will receive Rs1 billion.
Governance Budget
Funds for local governments in the Balochistan Budget 2024-25 will increase by 108%, totaling Rs35 billion. Provincial employee salaries will rise by 25% for Grades 1 to 16 and 22% for Grades 17 to 22. An additional Rs2 billion will be invested in Balochistan’s pension fund, and a contributory pension scheme for new employees will start from July 1.
