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The Sindh government unveiled its annual budget on 17th June, 2013 for FY14 with a total outlay of Rs 617.21 billion, with a deficit estimated at Rs 21.63 billion. The proposed budget is about 22 percent or Rs 112.49 billion higher than the current year's revised estimates of Rs 504.74 billion. Total revenue receipts are estimated at Rs 595.58 billion which are about Rs 107.36 billion higher than the revised estimates of Rs 488.21 billion of the current fiscal year. These revenue receipts include Estimated Revenue Receipts from Federal Divisible Pool at Rs 332.9 billion which are 5.9 percent higher than budget estimates of 2012-13.

Thanks to Russia's tough stand against arming the rebel forces in Syria the United States seems agreeable to give peace negotiations one more chance. Statements made by President Obama and his Russian counterpart Vladimir Putin on the eve of G-8 summit in Northern Ireland are sufficiently reconciliatory, as against the pre-summit statements made publicly by the two sides. That something serious was cooking up in the Western kitchens against the Assad regime is a development that we in Pakistan could guess from the US Secretary of State John Kerry-Prime Minister Nawaz Sharif phone talk on Sunday. Kerry was planned to visit here next week but the delay was forced due to an 'aggravating' Syrian crisis.
Punjab Finance Minister Mian Mujtaba Shujaur Rehman presented a budget with an operational shortfall of 30 billion rupees with net tax receipts estimated at 1.2 trillion rupees, non-tax revenue at 431 billion rupees to fund an extremely ambitious development expenditure of 290 billion rupees (73 percent rise from last year) and current expenditure of 607.5 billion rupees (a rise of 10 percent). The shortfall of 30 billion rupees indicates that Punjab would not contribute to the estimated provincial surplus for 2013-14 of 23 billion rupees as identified in the federal budget documents 2013-14. This amount would either raise the indebtedness of the Punjab government - a likely scenario with obvious implications on inflationary pressures - or be funded through later cuts in either the development or non-development expenditure - a trend that has not been visible during the past five years of the PML (N) government in the province.
Unlike Iran's presidential election four years ago, when reformists took to the streets to protest the outcome, this time celebrations broke out all over the country as soon as moderate leader Hassan Rowhani was declared as the winner. The result has also been hailed by the outside world. Campaigning on the "hope and prudence" platform, Rowhani won with 50.7 percent of the votes, way ahead of Tehran Mayor Mohammad Bagher Qalibaf with about 16.5 percent while the hard-line nuclear negotiator Saeed Jalili finished a distant third with 11.3 percent votes followed by another conservative candidate Mohsen Rezaei with 10.6 percent. The Iranian society is polarized along conservative and liberal lines. At the time of the 2009 election, the liberals had backed the reformist candidate Mir Hossein Mousavi and suffered a severe setback, leading to massive demonstrations and a government crackdown.
All these years of our national independence the enemy was never too far, but it was firmly checked and held back over there. No more; it is too close now and is virtually knocking at the door. If a part of it is working to break our will and destroy our ethos to be a free people, its other part is striking at the very roots of our independent existence. By burning down the Quaid's Residency at Ziarat the separatist Baloch Liberation Army (BLA) has conveyed its message loud and clear that it has nothing to do with Pakistan. By killing medical college students in Quetta the Lashkar-i-Jhangvi has messaged that it would spare no blood to impose its own brand of Islam. Of course all this time both the BLA and LJ were busy wrecking havoc wherever they could, but the simultaneity of the attack on the monument that has come to symbolise our independence and the massacre of girl students aptly reflects the enormity of threat the enemy poses.
Commendably for it, in its Finance Bill 2013 the PML-N government has given considerable attention to higher education, allocating Rs 57.4 billion to the sector. A substantial sum of Rs 39 billion is to go into increasing enrolment in public sector higher education institutions from 1.08 million students in 2012-13 to 1.23 million in the new fiscal year. The number of scholarships is to go up from 4,249 to 6,249 while the Planning Commission has proposed Rs 14 billion for Overseas Scholarships Scheme for students pursuing MS and PhD degrees in selected fields; and Rs 739 has been allocated for local PhD programmes. Another Rs 550 million has been earmarked for a revised PhD fellowship programme.
Following the release of Pakistan Economic Survey for FY13 and the announcement of the Federal Budget for FY14, the contents of the third quarterly report of the SBP for FY13 released on 13th June, 2013 would appear to be outdated but central bank's analyses and comments on the state of economy are both interesting and profound. The report reiterates that key challenges to macroeconomic management emanate from the fiscal side and the external sector. For those who care to read and are worried about the economic drift the quarterly reports of SBP are sent to both houses of Parliament.

 



 
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Banking Review 2012

Annual2011/12
Foreign Debt $65.562bn
Per Cap Income $1,372
GDP Growth 3.7%
Average CPI 10.08%
MonthlyMay
Trade Balance $-2.171 bln
Exports $2.175 bln
Imports $4.346 bln
WeeklyJune 17, 2013
Reserves $11.446 bln