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Thursday, November 21, 2024

Can the new budget meet Karachi’s requirements?

The provincial government has allocated Karachi - which is the business capital of Pakistan - just Rs3.1billion for six new “mega schemes for Karachi”.

The Sindh government earlier unveiled the provincial budget for 2022-23. Sharing the details of the budget, Chief Minister Sindh Murad Ali Shah Tuesday presented a “pro-poor” and “tax-free” provincial budget worth Rs1.71 trillion for the fiscal year 2022-23 after his cabinet’s approval.

Interestingly, the provincial government has allocated Karachi – which is the business capital of Pakistan – just Rs3.1billion for six new “mega schemes for Karachi”.

Read more: Karachi: The tormented city

According to the budget documents, the total amount allocated in the head of six new and 18 ongoing “mega schemes for Karachi” stands at Rs15.37 billion compared to Rs8bn allocated in the outgoing budget for 2021-22 for 19 infrastructure development schemes in Karachi.

Budget documents show that the biggest allocation of Rs1 billion the provincial government has made is for a new mega scheme titled repair/rehabilitation of storm-water drains in Karachi.

To clarify, due to the lack of a proper drainage system in Karachi, every monsoon season, the city suffers huge losses, both life, and property, as a result of urban flooding. At least 41 people died in floods in the city that struck in August 2020.

Budget for Karachi

 

On the other hand, the amount in the next fiscal year’s budget is almost double what the government allocated during the previous financial year.

The chief minister disclosed that 4,158 schemes, including 2,506 ongoing and 1,652 new schemes have been given an allocation worth Rs332.165 billion. He added that the ongoing 2,506 schemes have been given 76% funds or Rs253.146 billion allocation and 1,652 new schemes have been allocated 24% funds or Rs79.019 billion.

Furthermore, the chief minister said that his government has kept the education sector as its top priority by allocating Rs326.8 billion which forms more than 25% of the total budget outlay. He added that the health sector has also been given top priority by pitching budgetary allocation at Rs230.30 billion which forms more than 19% of the total budget outlay. This year the health sector budget is 14% higher in comparison to Rs181.22 billion during FY22.

Read more: Karachi: 11000 robberies in 50 days