1. Uniform criterion not applied for comparison at times, budget estimates for the ongoing fiscal year have been used; while at others revised estimates have been used. 2. Subsidies on various items have been reduced by Rs229.3billion from Rs395.8 billion (revised estimates) to Rs166.5 billion. 3. Current expenditure and revenue estimates not realistic as evident from the ongoing fiscal years experience. 4. Enormous increase in budget deficit. 5. No incentives for the housing and construction sector, implying that unemployment will rise and the economic growth will remain slow. 6. The share of the Public Sector Development Programme (PSDP) in the total expenditure reduced. 7. Enormous increase in internal receipts, meaning more direct and indirect taxation. 8. Minimum wage for workers not raised. 9. Changes and discrepancies in budget heads to hide inefficiency. 10. The resource availability estimates are not realistic and appear to be an attempt to hide the actual budget deficit. 11. Economy grew by only 2.4% against the target of 4.5% in the outgoing financial year. 12. Defence spending increased to Rs495 billion from Rs442 billion despite the fact that pensions of armed forces personnel had been included in the civilian budget. 13. More reliance on external resources and bank borrowings. 14. Agricultural tax not imposed. 15. Wrong assumption that provinces will provide Rs125 billion to the federal government form their physical surplus. Positives 1. Rate of Sales Tax reduced from 17% to 16%. 2. Transfers to the provinces from the federal divisible pool have been estimated at Rs1,233 billion 20% higher than the outgoing years estimates of Rs1,033 billion. 3. 15% increase in salaries of government employees. 4. 15% and 20% increase in pension of government employees. 5. The conveyance allowance of the government employees (including armed forces personnel) of Grade 1-15 raised by 25%. 6. Allocation of resources to some crucial sectors (for example, Rs14 billion for the Higher Education Commission, Rs15 billion for the health sector and Rs4 billin for the Population Welfare Programme) despite the fact that they have been devolved and the provinces are now expected to spend from their own resources. 7. Priority given to the water sector and the allocated funds increased from Rs28.424 billion in the outgoing budget to Rs36.136 billion in the next budget. 8. Allocation of funds for small dams, especially in Balochistan. 9. More increase in provincial share of the Public Sector Development Programme (PSDP) in comparison with the federal share, since the latter is traditionally slow in spending and a lot of allocated funds go unutilised. 10. For salaried employees, income tax exemption limit increased from Rs300,000 to Rs350,000. This will benefit 0.7 million people. 11. Withholding tax on cash withdrawal reduced from 0.3% to 0.2%. 12. All special excise duties abolished. 13. Excise duty on soft drinks reduced from 12% to 6%. 14. Plan to bring 2.3 million people into the tax net. 15. More than 390 regulatory duties be withdrawn.