A tax-free budget for the fiscal year 2008-9 was presented in Balochistan Assembly with the total outlay of Rs71.19 billion.
Provincial finance minister Mir Asim Kurd Gillo presented the budget, whose salient features included 20 per cent increase in the salaries of government employees, ban on purchase of vehicle and creation of job opportunities for more than 2,600 educated jobless people.
Total budget deficit stands at Rs8.80 billion, which has been reduced due to provision of a grant amounting to Rs3 billion by the prime minister. A sum of Rs15.74 billion has been allocated for development projects in the budget. Charge expenses are estimated at Rs62.35 billion while total revenue receipts are projected at Rs62.38 billion. A sum of Rs85 million has been set aside to consolidate district governments.
Income from its own resources of Balochistan province is estimated at Rs3.47 billion. Tax receipts come to Rs972 million, while non-tax receipts stand at Rs2.5 billion. Direct receipts stand at Rs8.51 billion. Grants or assistance are projected at Rs13.60 billion.
The volume of development and non-development expenses is estimated at 71.91 billion.
The provincial finance minister said for the promotion of education in the province with the support of the private sector, 300 private schools would be established under the Balochistan Education Foundation.
In addition, with the help of the federal government, various higher education institutions are also being established across the province. The federal government is also constructing ten cadet colleges in the province, and construction work has started on five of them; approval has been given for five more. For promoting technical education, polytechnic institutions would be constructed in eight cities of the province: Turbat, Gwadar, Khanuzai, Muslim Bagh, Othal, Lora Lai, Khuzdar and Sibi. Out of these, three institutes would be exclusively for women. In addition to this, two residential colleges would also be established in Othal and Zhob.
The minister said another 13 vocational training institutes would be established across the province at a cost of Rs188.1 million during the next fiscal year. The areas where these institutes would be established are Nokundi, Dalbandin, Kahan, Meuand, Gandakha, Jhal Magsi, Gandhwah, Bhaag, Dakki, Mashkil, Darag and Barkhan.
During the next fiscal year, development of the agriculture sector has also been stressed. At the moment, various projects related to agri-research are being implemented at a cost of Rs649.8 million. Work on these projects would continue in the next fiscal year as well. Whereas in the agriculture extension sector, projects worth Rs382.6 million are underway for which substantial amount has been allocated in the next fiscal budget.
The provincial minister said by using bulldozers of the department of agricultural engineering, 18,000 acres of barren land was being brought under cultivation. These bulldozers are provided to the farmers at heavily subsidized rates. In addition to this, the government is providing a subsidy of Rs2 billion under the head of electricity bills of the tubewells, and this facility would be maintained in the next fiscal year as well.
While announcing that the government would continue giving subsidy on wheat, the provincial finance minister said in this respect, Rs500 million had been set aside. The government provides Rs3,744 subsidy per metric tonne of wheat so that wheat is available to the people at affordable rates.
Likewise, an amount of Rs1 billion 174.3 million had been allocated for paying back the federal loans; Rs150 million for advance payments; Rs100 million for investment; Rs1 billion 950 million for paying back the State Bank loans; Rs1 billion 400 million for payment of Central Development Loan; Rs2 billion 975 million for payment of performance grants to the districts; and Rs175 million in respect of  provincial grant for programmes aimed at providing assistance to the TB and HIV/ AIDs patients.
The provincial finance minister said that for the next fiscal year the districts would be given Rs20 billion 465.34 million against previous year’s Rs16 billion 231.6 million. To strengthen the district governments, a grant of Rs85 million has been allocated. Under different heads, Rs48 billion 5.01 million would be transferred to the provincial government from the federal government.
For the developmental budget of the province for next fiscal year, just one new scheme has been included -- the rest is for the 476 ongoing schemes. A total of Rs15 billion 745.32 million has been allocated for the purpose, in which the share of the Balochistan government is Rs11 billion 757.384 million, whereas foreign aid would be Rs3 billion 987.936 million. Major part of the development budget would go towards the construction of roads that is 30.6 per cent.
For the 196 ongoing schemes, Rs4 billion 817.7 million have been allocated, whereas 20.64 per cent of the development budget has been allocated for the scheme “new initiative”. For this purpose, Rs3 billion 250 million have been allocated. There is no detail of the new scheme in the budget documents, but there is a strong possibility that plans under the authority of the members assembly would be a part of it.
Recently, it was decided in the cabinet meeting that every member assembly would have the authority to suggest schemes to the tune of Rs250 million. And schemes of similar cost would be completed in their constituency.
The share of information technology is the least in the development budget, that is 0.5 per cent, and under this head, just Rs8.266 million have been allocated. Allocation for some ongoing schemes under different departments is as under:  education department, Rs2 billion 218.794 million; health, Rs289.887 million; department of public health engineering, Rs264.072 million; social welfare, Rs37.2 million; Balochistan Development Authority, Rs1 billion 4.3 million; water sector, Rs954.179 million; tourism, Rs254.192 million; department of minerals, Rs154.4 million; department of industry, Rs42.5 million; fisheries, Rs12 million; forests, Rs36.7 million; livestock, Rs47.6 million; manpower, Rs18.1 million; local government, Rs130 million; and women development, Rs29 million.
The provincial finance minister Mir Asim Kurd has presented the Balochistan government deficit budget now it has to be seen that how the provincial government will manage to meet the deficit.