Govt Proposes Big Cuts in IT and Telecom Projects in Budget 2023-24

The Federal Government has proposed a Rs. 6 billion budget for the Ministry of IT and Telecommunication projects against the demand of 24.25 billion.

Document available with ProPakistani reveals that the Ministry of Information Technology and Telecommunication (MoITT) had demanded a budget of Rs. 24.25 billion for 47 projects for 2023-24. The Government of Pakistan has proposed Rs. 6 billion for 31 schemes of MoITT in the upcoming budget under PSDP.

The Government of Pakistan has rejected the allocation of funds for 12 new schemes of the Ministry of IT and Telecommunication. The MoITT has demanded Rs. 3,372.76 billion for 13 new schemes whereas the Government of Pakistan has allocated only Rs. 10 million for one new scheme for the next financial year.

The Ministry of IT and Telecommunication had demanded a budget for 6 new schemes of the Special Communication Organization, 4 new schemes of the Pakistan Software Export Board, and 3 new schemes of the National Telecommunication Corporation.

Meanwhile, the government has proposed Rs. 10 million for the Digital Economy Enhancement Project (World Bank Funded). This project was approved by ECNEC in February 2023 and the total cost of the project is Rs. 17,470.750 million and it is a foreign-funded project.

Along with rejecting the budget for new schemes by the government, cuts have also been proposed to the budget of old schemes. According to the document, the ministry had demanded Rs. 20,877.62 million for 34 ongoing projects in the next financial year under PSDP.

The Government of Pakistan has recommended only Rs. 5,990 million for 30 ongoing Schemes of the Ministry of IT and Telecommunication.

Planning Division sources said that due to lack of funds, it has been proposed to allocate the budget only for ongoing schemes and most essential new schemes.

Officials of the Ministry of IT say that many schemes will be delayed due to budget cuts, while important projects related to Digital Pakistan will not be able to start if the budget for new schemes is not approved.



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