Federal Charged Expenditure

The National Assembly on Wednesday approved a total federal charged expenditure of Rs17.901 trillion under 74 demands for regular and technical supplementary grants for the financial years 2024-25 and 2025-26. The approval came during proceedings in the Lower House of Parliament after the government presented several supplementary grant demands to meet additional financial requirements. The House also approved a separate grant of Rs4.125 billion to cover excess expenditure incurred by the Pakistan Post Office Department during the financial year 2016-17. Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb presented the regular and technical supplementary grants before the National Assembly. Members approved the demands through a majority voice vote. National Assembly Approves Supplementary Grants The approved package includes substantial allocations aimed at debt servicing, election-related expenses, constitutional institutions, and operational requirements of various government departments. The House approved supplementary grant demands amounting to Rs12.65 trillion for the financial year 2025-26. A major portion of this allocation was designated for the repayment of domestic debt, reflecting the government’s focus on managing financial obligations and maintaining fiscal stability. Among the approved demands for FY2025-26 were: Repayment of domestic debt: Rs12.643 trillionElection expenses: Rs455.984 millionFederal Constitutional Court of Pakistan: Rs2.25 billion The allocations highlight the government’s commitment to addressing debt-related liabilities while ensuring funding for constitutional and electoral institutions. Rs2.64 Trillion Supplementary Grants Approved for FY2024-25 The National Assembly also approved supplementary grant demands totaling Rs2.644 trillion for the financial year 2024-25. These allocations included funding for the Presidency, audit functions, foreign credit repayments, and domestic debt obligations. The approved grants comprised: Staff Household and Allowances of the President (Personal): Rs208 millionRepayment of short-term foreign credits: Rs40.350 billionAudit expenditures: Rs63 millionRepayment of domestic debt: Rs2.604 trillion The figures indicate that debt repayments continue to consume a significant share of federal expenditures, underscoring the fiscal challenges facing the government. Excess Expenditure of Rs2.088 Trillion Also Cleared In addition to supplementary grants, the House approved charged excess expenditure totaling Rs2.088 trillion for FY2024-25. The approved excess expenditures covered pensions, debt servicing, foreign loan repayments, and allocations for the Federal Tax Ombudsman. The breakdown included: Superannuation allowances and pensions: Rs662.850 millionForeign loans repayment: Rs1.548 billionRepayment of short-term foreign credits: Rs32.810 millionServicing of domestic debt: Rs169.322 billionRepayment of domestic debt: Rs1.916 trillionFederal Tax Ombudsman: Rs81.522 million The approval reflects the government’s effort to regularize expenditures that exceeded previously sanctioned allocations during the fiscal year. Key Allocations for Government Divisions The National Assembly also approved 35 supplementary grant demands for FY2025-26, covering a wide range of ministries, divisions, and national institutions. Several strategic sectors received significant funding to support operational requirements and development initiatives. Among the major allocations were: National Disaster Management Authority (NDMA): Rs4 billionCommerce Division: Rs7.5 billionDefence Division: Rs4.25 billionDefence Services: Rs33.968 billionPower Division: Rs105.5 billionFederal Education and Professional Training Division: Rs57.19 billionGrants, subsidies and miscellaneous expenditure: Rs127.411 billionHousing and Works Division: Rs5 billionInformation and Broadcasting Division: Rs1.47 billion The allocations are expected to support government operations, infrastructure maintenance, education programs, energy sector obligations, and disaster management preparedness. Funding Approved for Cabinet and National Security Institutions The House also approved supplementary allocations for several key institutions involved in governance, national security, climate policy, and investment facilitation. The approved amounts included: Cabinet Division: Rs967.5 millionNational Security Division: Rs250 millionSpecial Investment Facilitation Council (SIFC) Division: Rs76.239 millionClimate Change and Environmental Coordination Division: Rs150 millionPetroleum Division: Rs13.1 millionOther expenditure of the Finance Division: Rs112.118 millionMiscellaneous expenditure of the Information and Broadcasting Division: Rs13.83 billion These allocations are intended to strengthen institutional capacity and ensure the uninterrupted functioning of critical government departments. Debt Repayments Remain Largest Component A review of the approved supplementary grants shows that debt-related expenditures accounted for the overwhelming majority of the allocations approved by the National Assembly. Repayment and servicing of domestic debt alone represented several trillion rupees across both fiscal years, demonstrating the continuing pressure of debt obligations on Pakistan’s public finances. The approval of these expenditures forms part of the government’s broader fiscal management strategy as it seeks to balance operational requirements, debt commitments, and public sector funding needs during the upcoming financial years. With the passage of the supplementary grants and excess expenditure demands, the government now has parliamentary authorization to utilize the approved funds for debt repayments, institutional operations, and strategic national priorities during FY2024-25 and FY2025-26.