Outlines of Budget 2019-20 unveiled: Government identifies stabilisation as major goal

Special Assistant to Prime Minister on Information and Broadcasting Dr Firdous Ashiq Awan Tuesday said the next budget to be presented on June 11 would focus on moving the economy towards stabilisation, reducing fiscal deficit through mobilisation of revenue and managing of current account deficit by reducing imports. Briefing about cabinet decisions here at a press conference, she said expenditure would be brought under control in the upcoming budget, setting path for public debt reduction.
Vulnerable sections of society would be protected and top priority would be to reduce financial burden on common people, she added. Dr Firdous said that Advisor to Finance Dr Abdul Hafeez Sheikh presented before the cabinet outlines of the next budget. The special assistant said further steps would be taken to improve growth prospects and create jobs, adding the provincial governments which through National Finance Commission Award got a major share of resources would be taken on board to tackle the challenges faced on the economic front.
She said ultimately the economic roadmap given by the government stabilised value of rupee against the dollar and put an end to uncertainty and rumours affecting stability of the economy.
Pakistan Stock Exchange had responded positively by ''setting as new record,'' she said, adding the economic measures would ultimately bring down inflation for minimising economic difficulties of the people. She said the government would announce a comprehensive and well-defined trade policy to increase exports, reduce imports and address balance the trade deficit.
The focus would be on revival of sick industrial units. In the past, interests of industries were not protected under the Free Trade Agreement with China which created a consumer economy that led to expansion in imports, she added. She said that the guiding principles of the budget set in light of Prime Minister Imran Khan''s directives prioritised, first and foremost, the government''s desire to put the economy on the path of stabilisation.
"Our focus will be the stabilisation of the economy, managing external deficit by decreasing imports, reduction in fiscal deficit through revenue mobilisation, and expenditure control, setting the path for public debt reduction," she said. The SAPM revealed that special focus was accorded throughout the meeting on "how the government can protect the vulnerable segments of society in the forthcoming budget." She said that the discussion and debate revolved around reducing the impact of the budget on the common man as much as possible.
"The government''s purpose in this budget is to create a platform for growth because job opportunities are linked to growth and job opportunities will grow only when growth increases," she said. Awan said that the provincial governments play a central role in the development of the budget due to the National Finance Commission (NFC) Award which sees a major chunk of the budget goes to the provinces and the space is subsequently shrunk for the federal government within which to operate.
She said that the way forward devised and put into action by the government''s economic team has stabilised the value of the rupee and that uncertainty and "rumour factories" which had brought instability to the economy have been shut down.