PESHAWAR – The Khyber Pakhtunkhwa government yesterday presented the provincial budget for the year 2022-23 with an outlay of Rs1332 billion.
The provincial annual budget was presented in a special budget session of the Khyber Pakhtunkhwa assembly, chaired by Deputy Speaker Mahmood Jan.

The budget, presented by KP Finance Minister Taimur Saleem Jhagra, envisages a 16 per cent raise in salaries of government employees and a 15 per cent raise in pensions. The budget also allocated Rs1108 billion for the settled areas of Khyber Pakhtunkhwa and Rs223 billion for the merged districts. Shuhada package for police was also increased in the budget.
The total current budget of the province is Rs913 billion, with an allocation of Rs789 billion for the settled areas of the province and Rs124 billion for the merged districts.
Also, the minister announced the regularisation of the services of around 63,000 employees, including contractual teachers, ad hoc doctors and the employees of 128 projects underway in the erstwhile FATA region.
Speaking on the assembly floor, Taimur Saleem Jhagra said that the pension reform is the new element in this year’s provincial budget. Elaborating further, Jhagra said that a new employee upon joining the service will deposit 10% of his salary in the pension fund and the government will deposit 12% of his salary amount in his/her pension.

  • Rs1108b allocated for settled areas while Rs223b for merged dists of the province.
  • 16pc pay raise announced for govt employees and 15pc raise in pensions.
  • Shuhada Package limit increased
  • KP finance minister announces to regularise services of around 63,000 employees

In his budget speech, he sheared details of initiatives and said that treatment for bone marrow transplant, thalassaemia, and advance-stage cancer will also be added to the Sehat Insaf Card. “Four new medical colleges will be established in district Dir, Buner, Charsadda, Haripur,” he said adding youngsters will also be given loans worth around Rs25 billion.
The Minister also said provincial government has earmarked Rs319.2 billion for the development of which only Rs8 billion will be received under the PSDP. According to the documents, Rs25 billion have been earmarked for Sehat Insaf Card program, and Rs 6 billion for capacity expansion grant of MTIs and its allied entities and medical college. Similarly, a sum of Rs11 billion (current and development) has been set aside for medicines of primary and secondary healthcare, and Rs4 billion for provision of free OPD medicine in all public sector health facilities in Khyber Pakhtunkhwa.
Likewise, an amount of Rs1billion set aside for providing ambulatory services for expectant mothers. Rs2 billion provided as an operational budget to universities.
Likewise, a sum of Rs2 billion has been proposed for provision of missing furniture in schools, while an amount of Rs2.4 billion allocated for Scholarships with a majority of its going to girls. Similarly, a record allocation of Rs227,087 million for Elementary and Secondary Education including Rs3,410 million for current expenditures while Rs16,996million for development and Rs12,857 million foreign aid.
For Energy and power sector, a sum of Rs29,203 million has been set aside under ADP, including Rs527 million for current and Rs7,725 million for development while Rs20,951 million would be received from foreign Aid. A sum of Rs4,191 million for Environment has been allocated, including current Rs4,144 million and Rs47 million for development.

Highlights of KP budget 2022-23

  1. KP budget 2022-23 is balanced with total outlay of Rs 1332 billion
  2. Current budget is Rs 913.8 billion
  3. Development budget is Rs 418.2 billion
  4. Total receipts of Khyber Pakhtunkhwa is Rs 1332 billion
  5. Rs 570.9 billion would be collected from federal taxes
  6. Rs 68.6 billion from federal divisible pool under one percent share of war on terror
  7. Rs 208.7 billion grant for merged districts
  8. 15 percent increase in salaries of government employees
  9. Risk allowance for police constables from grade 7 to 16
  10. Rs 275.7 billion for provincial development program including AIP
  11. Rs 8.3 billion for PSDP shares
  12. Rs 205,725 million for health
  13. Rs 227,087 million for elementary and secondary education
  14. Rs 101,572 million for home department
  15. Rs 29,458 million for agriculture
  16. Rs 22,017 million for sports and culture
  17. Regularization of 63,000 contract employees including 58,000 teachers announced
  18. 20 percent discount for re-registration of motor-vehicles, first registration
  19. No tax on land, exempted from CVT and registration fees
  20. No fees for students of elementary and secondary education were among
  21. No tax on libraries archives or hostels.
  22. PFM law announced for bringing more financial transparency
  23. Rs 26 billion relief for one million families under Insaaf Food Card
  24. Rs 25 billion for Sehat Card Plus
  25. Five more critical diseases to be included in Seht Card with an allocation of Rs 2.5 billion
  26. Rs 53.6 billion for medical and allied hospitals and MTIs, four new medical colleges to be established
  27. Rs 15.5 million for tourism promotion
  28. Construction of a model hospital in Peshawar
  29. Construction of Swat Motorway Phase-II
  30. Starting practical work on Dir Motorway, D.I Khan Motorway
  31. Establishment of KP Economic Corridor
  32. Rs one billion for interest-free loans to youth, Rs 12 billion for SMEs
  33. Rs 16.4 billion for village and neighborhood councils
  34. Rs 180 million for rehabilitation of drug addicts
  35. Rs 3 billion for science and technology
  36. Approval of new Peshawar valley city
  37. Establishment of Mobile Highway Motorway Rescue Services
  38. Inclusion of 86 new buses in BRT
  39. Rs 500 million for Safe City Peshawar
  40. Rs 3.5 billion for women empowerment
  41. Rs 4 billion for combating climate change
  42. Rs 15.8 billion for hydle power generation

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