ISLAMABAD - The federal cabinet yesterday approved Rs860 billion defence outlay for the upcoming financial year – more than 10 per cent against Rs781 billion expenditures of the outgoing year.
Although breakup of the defence allocation will be released in the budget documents to be presented on June 3, the Rs79 billion increase suggests that main focus of the country’s defence strategy remains fighting militancy.
The Indian recent missile test has indirectly forced Pakistan to review and strengthen its defence.
However, contrary to the defence expenditures earmarked for the outgoing fiscal year, the actual defence outlay for the upcoming year has been reduced by more than one per cent. The defence allocations for the year 2015-2016 to the tune of Rs781 billion were 11.6 per cent up. Of Rs781 billion, the Army got the lion’s share – 48pc out of the defence budget pie – while it was Navy that saw its share grow by 19pc ostensibly because of plans for buying submarines and helicopters from China.
The share of various services in the defence budget for 2015-2016 was army (Rs371 billion), air force (Rs164.24 billion), navy (Rs85 billion) and the Defence Establishment comprising inter-services organisations, including ISI (Rs160.7 billion). Rs326 billion were spent on expenses related to employees that include pay and allowances of uniformed troops and civilian employees paid out of the defence budget.
Operating expenditures of the armed forces on transport, POL, ration, medical treatment and training were Rs200 billion. Civil works that account for maintenance of infrastructure and construction of new buildings were Rs87billion.
Another Rs169.6 billion would be provided for physical assets, including procurement and maintenance of arms and ammunition. With the proposed defence outlays for the fiscal year 2016-2017, it seems that share of Pakistan Army and Pakistan Air Force in the defence allocations would by and large remain the same.
Pakistan Navy is expected to get more funds in the budget 2016-2017 because of the fact that it has to make up to the pressing maritime security challenges largely because of the rapidly changing geopolitical dynamics.
A cursory look at the defence budgets of previous years suggest that though during the preceding five years defence expenditure has almost doubled from around Rs350 billion in 2009-10 to Rs781 billion in 2015-2016, the rate at which it has been increasing has continuously diminished.
In 2009-10, government increased the defence budget by 21.46 per cent, which was reduced to 17.58 per cent in 2010-11. In 2011-12 the defence expenditure was upped by 14.73, which further dropped to 11.79 per cent in 2012-13.
In nutshell, the defence budget for the year 2016-2017 is largely meant for continued fight against militancy, meeting Pakistan Navy’s pressing needs and to tackle challenges from India.
Pakistan continues with its major military operation Zarb-e-Azb, even though the operation in Fata has culminated but the combing operations against terrorists continuing unabated across the country.
The process of stabilization in Fata region including the fencing of some parts of the Pak-Afghan border is also continuing in order to prevent the cross border movements of the terrorists.
With now more than sixteen years of war against terror, Pakistan also needs to reinvigorate its capability by inducting new weapons etc especially in Army and PAF. Pakistan will have balance out the new challenges being posed from India largely relating to strategic balance through innovations and without entering into arms race.