Government Increases Defence Budget to Rs 1.8 Trillion

For the fiscal year 2023-24, the federal government has designated Rs. 1.804 trillion for defense purposes, representing a 13 percent increase from the previous year. Defense spending now accounts for 1.7 percent of the country’s GDP and 12.5 percent of total government expenditure.

The majority of the defense budget, Rs. 824.6 billion, has been allocated to the army, while the Pakistan Air Force and Pakistan Navy received Rs. 368.5 billion and Rs. 188.2 billion, respectively.

In addition, the pension for retired military officials has risen by 26 percent to Rs. 563 billion, which is not included in the defense budget.

The defense budget is divided into several categories: Defense administration (Rs. 5.4 billion), Employee-related expenses (Rs. 705 billion), Operating expenses (Rs. 442 billion), Physical assets (Rs. 461 billion), and Civil works (Rs. 195 billion). 

Defense administration covers salaries and allowances for troops and civilian employees while operating expenses include transport, petroleum, oil and lubricants, rations, medical treatment, and training. Physical assets encompass local purchases and import of arms and ammunition, and civil works involve the maintenance of existing infrastructure and construction of new buildings.

The government has stated that this increase is “necessary” to ensure the country’s security and sovereignty.

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