Broke but Boosting Defence? Pakistan May Raise Military Budget by 100 Billion Rupees

Islamabad: In Pakistan, which is facing economic crisis, preparations are going on to increase the defence budget for the next financial year. According to media reports, the government may increase defence expenditure by about 100 billion Pakistani rupees. This decision has come at a time when Pakistan is largely dependent on the loan from the International Monetary Fund (IMF) to manage its economic condition.

How much can the new defence budget be?

Pakistan is preparing to increase its defence expenditure next year. According to the report of Dawn newspaper, the country's defence budget can reach 2.66 lakh crore Pakistani rupees in 2026-27. In the current financial year this figure is around Rs 2.56 lakh crore. That means the government is going to spend more money on the defence sector than before.

What did IMF say on Pakistan's earnings?

IMF estimates that Pakistan's total federal income in the next financial year could be Rs 17.14 lakh crore. This is about Rs 2 lakh crore more than the current year. The government is preparing a new budget based on this estimate. This means that the income is expected to increase by Rs 2 lakh crore, while the defence budget is also going to increase by about Rs 10,000 crore. These figures have come at a time when Pakistan is under IMF program and is trying to manage security expenditure along with economic reforms.

Will government payments in Pakistan be completely digital?

The report said that Pakistan has promised to digitalize all government payments at the Center and states by June 2027. It is believed that this will try to reduce corruption and make the government system more transparent.

What steps will be taken to stop corruption?

Under the IMF-backed reform program, the Government of Pakistan will identify by the end of this year the 10 government institutions most prone to corruption. Special audit of these institutions will be conducted. Besides, a plan is also being made to further strengthen anti-corruption agencies.

How bad is the economic condition of Pakistan?

According to the report, a large population in Pakistan is suffering from financial crisis. Apart from those living in extreme poverty, about 40 percent of the population is considered to be extremely economically weak. Meanwhile, an IMF team is on a visit to Pakistan and is reviewing the progress of economic reforms.