ISLAMABAD: Minister for Planning Ahsan Iqbal on Sunday confirmed that the government will increase the defence budget in the upcoming fiscal year, citing the current security situation as a key reason, according to a report by The News.
Speaking to a delegation from the Institution of Engineers Pakistan (IEP), led by Secretary General Engineer Ameer Zameer, Iqbal assured that the government is also committed to providing economic relief to the public despite fiscal constraints.
The minister emphasized that there is no pressure from the International Monetary Fund (IMF) in finalizing the federal budget and clarified that the delay in its announcement is due to the Prime Minister’s foreign visit and the Eid holidays, not external influence.
Iqbal highlighted the government’s renewed focus on water security, announcing that funds will be allocated on a priority basis for hydro-related projects, including the Diamer-Bhasha Dam, in response to India’s reported water-related actions. He said the early completion of these projects is essential to safeguarding Pakistan’s long-term water needs.
He also announced the launch of a paid internship programme for young engineers and reassured the engineering community that their proposals would be incorporated into the upcoming budget.
On the economic front, he noted that the IMF has expressed satisfaction with the government’s current economic policies. Discussions with the IMF are ongoing, especially regarding the Federal Board of Revenue’s (FBR) proposal to lower income tax rates for salaried individuals by 2.5%. The IMF has requested clarification on alternative revenue measures to address the expected Rs56 billion gap resulting from the proposed tax relief.
Commenting on national unity, Iqbal said the country remains united following recent military successes, and emphasized that no action will be taken that could harm national cohesion.
On political matters, he criticized the founder of Pakistan Tehreek-e-Insaf (PTI) for not responding positively to the recognition of COAS Field Marshal Syed Asim Munir’s leadership, stating that responsible leadership requires acknowledgment of national institutions.
