Lawmakers’ nod sought for Rs2.5tr grants

Despite the government’s claims of tight fiscal discipline, Finance Minister Ishaq Dar has asked the parliament to give post-facto approval of record Rs2.415 trillion supplementary grants for expenditure overruns and re-appropriation. Budget documents suggest that the parliament would be required to approve about 25pc higher supplementary grants later this month when compared to Rs1.95tr it regularised last year. This put a question mark on the processes leading to budget estimates and expenditures. Documents placed before the parliament by the Ministry of Finance indicate that subsidies, power sector, water division, defence services, health-related expenditures, civil armed forces and related agencies stand out in exceeding budgetary allocations. The ministry said the amounts that it was seeking approval as fait accompli pertained to May 16 to June 30 of FY22 from July 1 to May 15 for FY23 after the conclusion of budgetary processes for respective years and overran allocations approved by the parliament and yet remain legally unapproved as required under articles 80-84 of the Constitution. The ministry in its written statement said these expenditures were those which could neither be met from the allocated budgetary resources nor be legitimately postponed during these financial years. It seeks regular and technical supplementary grants worth Rs2.415bn including regulatory supplementary grants of Rs501bn for the entire period.