Rs95.9 bn allocated for higher education

 Health sector to get Rs59 bn, food security Rs11.61 bn

ISLAMABAD: The federal government has made allocation of Rs95.9 billion to Higher Education Commission (HEC) and Rs95 billion to the health sector while Rs11.61 billion has been allocated for food security in the annual budget for the year 2017-2018.

As much as Rs62 billion has been allocated for recurring expenditure. Out of the total allocation made an amount of Rs26,474.150 million have been earmarked for completion of 105 ongoing schemes while for initiating 63 new schemes Rs9,188.651 million would be spent.

Similarly, for Federal Education and Professional Training Division the government has allocated amount of Rs2,961.926 million for the year 2017-18. Out of the total amount earmarked to Federal Education and Professional Training Division 10 ongoing schemes would be kept for which Rs2385.926 million allocations have been made and Rs576 million have been provided for launching 3 new schemes during the year 2017-18.

Out of the total amount allocated for new schemes handsome amount of Rs500 million would be spent only on National Education Reform initiatives and Rs50 million have been kept for teaching the Holy Quran in BECS and NCHD schools. For Capacity Building of Education Managers amount of Rs26 million have been earmarked.

For Education Affairs and Services Rs90.516 million in the budget estimates 2017-18 as compared to Rs84.195 million provided in budget for the year 2016-17 and Rs84.707 million provided in revised estimates 2016-17. The bulk of expenditure at Rs68.252 million has been allocated for Tertiary Education Affairs and Services in budget 2017-18 which is 75.4 per cent of the total allocation under this head.

The classification of funds to Education Affairs and Services have been made accordingly which include amount of Rs8,748 million to Pre-Primary & Primary Education Affairs Services, For Secondary Education Affairs and Services Rs10,798 millions, Tertiary Education Affairs and Services Rs68,252 million, Education Services not definable by level Rs70 million, Subsidiary Services to Education Rs274 million, Administration Rs1,286 million and for Education Affairs, Services not classified elsewhere Rs1,088 million.

Meanwhile, the federal government announced an allocation of Rs59 billion for health sector under Public Sector Development Programme (PSDP) for the fiscal year 2017-18 which is significantly higher as compared to the budgets presented by government in last four years.

Taking a revolutionary step, the federal government has allocated Rs12.5 billion for a special scheme, ‘Clean Drinking Water for All’ for the year 2017-18 while Rs8 billion allocated for a new programme for Prime Minister’s Programme for New Hospitals (Phase I).

For the Ministry of National Health Services, Regulations and Coordination, allocations have been increased from Rs25 billion to Rs49 billion. This means that investment is being doubled as compared to the outgoing year. A new programme for hospitals with the cost of Rs80 billion is being started for which Rs8 billion have been allocated for next year, said Finance Minister Ishaq Dar while presenting budgetary speech on Friday.

In addition, he said the Phase-II of prime minister’s national health programme is being launched with the total cost of Rs10 billion. Investments in vertical health programmes including EPI, Family Planning and Primary Health Care and population welfare programmes are being enhanced as compared to the last year, said the minister.

It is important that in the budget announced for the year 2017-18, the federal government has given due attention to one of the primary causes behind spread of a number of ailments and has decided to work for provision of clean drinking water for all.

During budgetary speech, the finance minister said two-thirds of all ailments are water-borne. Clean drinking water is a sine qua non for improvement in the public health. A special programme by the name of ‘Clean Drinking Water for All’ is being launched for which Rs12.5 billion are proposed to be allocated for the next year’s budget, he said.

According to the finance minister, the government is taking various steps to improve the life standard of the middle and lower middle classes.

He said baby diapers are important for the hygiene of the infants. Keeping in view the demand of baby diapers in the country and investment plans by diaper manufacturers, there is a need to incentivise domestic manufacturing.

It is, therefore, proposed that customs duty may be reduced on raw materials, not locally produced, from 16 percent to 11 percent and from 20 percent to 16 percent for manufacturers of baby diapers, said the minister.

It is, however, important that there has not been suggested any reduction in customs duty on import of raw materials in pharmaceutical industry. In real terms, the prices of medicines would go up further after the approval of the budget.

Under the head of health affairs and services, a total of Rs12.847 billion have been allocated in the budget estimates 2017-18 which is higher by 6.1 percent and 3.8 percent respectively when compared with the budget and revised estimates for the year 2016-17.

A total of Rs10.823 billion would be spent for hospital services, and Rs1.555 billion on health administration while only Rs29 million would be spent for purchase of medical products, appliances and equipment.

It is important that out of a total allocation of Rs48.7 billion made in the federal budget 2017-18, Rs37.5 billion have been allocated for as many as 18 ongoing schemes while Rs16.9 billion for five new schemes including Prime Minister’ National Health Programme Phase II for which Rs7 billion have been allocated.