The Economic Coordination Committee (ECC) of the Federal Cabinet has approved an increase of 6% in the total defense budget for the outgoing fiscal year 2021-2022.
While the increase translates to Rs. 80 billion, the total military spending for FY 2021-22 has increased from 1.37 trillion to Rs. 1.45 trillion.
The Ministry of Defense had initially requested the ECC to provide additional Rs. 80 billion to meet the operational needs of the armed forces as well their enhanced salary requirements.
The additional budget will also help in expediting the development work of the Jinnah Naval base, Turbat Naval Base, and multi-functional office building in the Naval Headquarters in Islamabad.
Last year, the Ministry of Finance had allocated Rs. 1.373 trillion for the defense needs of the country in the annual budget for FY 2021-22.
Taking into account the recent 6% increase in defense spending, the defense budget in FY 2022-23 will exceed the figure of Rs. 1.55 trillion that was previously estimated by financial and defense experts.
