ISLAMABAD: The Federal Cabinet has approved the budget for the new financial year in which the salaries of government employees have been increased by 15% and pensions by 5%.
The budget for the new fiscal year will be presented this evening at 4 p.m. Before presenting the budget in the National Assembly, a meeting of the Federal Cabinet was held under the chairmanship of Prime Minister Shahbaz Sharif in which the budget proposals were presented. In the meeting, the Cabinet approved the Finance Bill 2022-23 for the next financial year.
The Cabinet, while approving the budget proposals, approved 15% increase in salaries and 5% increase in pensions of government employees. At the same time, the Cabinet also approved the amalgamation of the ad hoc allowance of government employees in the basic pay. Which is the biggest relief and will be 15% of the total basic salary.
Earlier, Prime Minister Shahbaz Sharif was offered a 10 per cent increase in the salaries of government employees, but he approved a 15 per cent increase in salaries after the approval of the federal cabinet.
The Cabinet also approved a proposal to keep the federal development budget at Rs. 800 billion, under which funds have been allocated for 1150 development schemes for the next financial year. Of these, 105 billion is allocated for Balochistan, 68 billion for Sindh, 50 billion for Punjab and 48 billion for KP.
