ISLAMABAD – The salaries of federal employees are likely to increase in the upcoming budget as a large number of people serving in state-run offices are also bearing the brunt of unprecedented inflation.
All eyes are on the upcoming budget which is slated to be tabled in the second week of June. The federal budget for 2023-24 is expected to be around Rs16.6 trillion, with a projected deficit of Rs 5,000 billion.
Ahead of the budget, several reports quoting well-informed sources claimed that government will announce a 30 percent pay increase in salaries of federal government employees while pensioners will get up to 15 percent increment.
The finance ministry is yet to take to any final decision on divided on the increment, with people demanding up to 50 percent hike in light of skyrocketing inflation.
Despite the reports of increment, the 30 percent increment may not be sufficient for masses to catch up with inflation which clocked over a whopping 40pc.
Let it be known that the coalition government hinted at no plans to offer big tax relief for inflation-hit people. At the directions of the IMF, the government increased GST from 15pc to 18pc under the mini-budget which was rolled out three months back.
In February, at least Rs180 billion were imposed in taxes and these taxes will be levied in the next fiscal year too.
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