w First woman presented federal budget in the National Assembly. w Rs.50 billion allocated for rehabilitation of IDPs. w Allowances equal to one months basic increased for personnel of armed forces deployed for anti-militant operation. w Fiscal deficit decreased by 3.3 percent in last year w Inflation declined from 25percent to 14.4 percent w Agriculture sector recorded a growth of 4.7percent in 08-09 as compared to 1.1 percent in the previous year * Rs.70 billion allocated for BISP to bring 5 million households in the ambit of programme. * Overall fiscal deficit of Rs 722.5 billion would be 4.9 percent of the GDP * GDP likely to grow by 3.3 percent in 2009-10 * Agriculture growth amounting to 3.8 percent; manufacturing totalling to 1.8 percent; and services contributing 3.9 percent expected * Inflation target set at 9.5 percent * Health insurance for poor and vulnerable introduced * Rs.35 billion allocated for Peoples Works programme * Construction of 9,469 housing units and flats for industrial workers proposed * Target set to increase outreach of micro-finance services from 2 million to 3 million borrowers in fiscal 09/10. * Tax credit limit on interest paid on loans for constructing a new house or acquisition of a house to be enhanced from Rs 500,000 to 750,000 * Establishment of ten model agricultural union councils for each major crop across the country will be undertaken. * Rs.60 billion allocated for Water sector. * 32 small and medium dams, 8 in each province being financed * Rs 12 billion for Mangla Dam Raising Project * Rs 10 billion allocated for improving water courses * Rs 15 billion for canal improvement and rehabilitation of irrigation system * Rs 47 billion earmarked in PSDP for water reservoirs * Rs 37 billion allocated for agriculture marketing, storage and infrastructure * Rs 4 billion to launch Benazir Tractor Scheme * Special Programme for Food Security and Productivity Enhancement of Small Farmers covering 13,000 villages by the year 2015 starting with 1,012 villages * Rs 40 billion allocated for Export Investment Support Fund * Budgetary allocation for Science and Technology doubled * 5 per cent reduction in excise duty on automobile proposed * Regulatory duty of Rs 250 per cellular phone set eliminated * Custom duty reduced from Rs 500 to Rs 250 per set on cell phone * Remarkable relief given to cell phone industry * To achieve a high quality road and rail network, allocations for National Highway Authority amounted to an increase from Rs 36 billion to Rs 40.2 billion * Budget for Pakistan Railways increases from Rs 6.6 billion to Rs 12.7 billion * PSDP allocations for the power sector increased by 100 per cent * Currently 15 Independent Private Power Houses with a total capacity of 2,921 Megawatts are in different stages of development. Out of these, 9 projects for 1,861 Megawatts will be commissioned in 2009. * Rs 4 billion allocated for Diamer Basha Dam * 50 MW Solar Thermal Power Project to be established in Southern Punjab * Rs 4 billion allocated for basic education and primary schools * Rs 22.5 billion for Higher Education Commission * Health gets Rs 23.15 billion under PSDP * 3,500 water filtration plants to installed one in each union council for at a cost of Rs 6 billion * Internship offer for 30,000 postgraduates under National Internship Programme * Registration of 15,000 volunteers from all walks of life for community development activities and disaster management * Ad-hoc relief allowance of 15 per cent of pay to serving government servants from 1st of July 2009 * Increase in the allowance of armed forces deployed on the western front equal to one months initial basic pay with effect from 1st July 2009 * For the remaining armed forces personnel, allowance equal to one months initial basic pay to be admissible from January 1, 2010 * In the interim period, an ad hoc relief allowance of 15 percent of pay * Retired government servants and armed forces personnel also get 15 per cent increase in their net pension from 1st of July 2009 * Limit for the exemption on Income Tax for salaried male to be enhanced from Rs 180,000 to Rs 200,000 * Limit for the exemption on Income Tax for salaried female to increase to Rs 240,000 to Rs 260,000 * Senior citizens to enjoy 50 per cent relief in their tax liability in case of income up to Rs 750,000 * On a cumulative basis the provinces to receive federal transfers in excess of Rs 708.1 billion against Rs 600 billion in the last financial year * In order to discourage consumption of cigarettes excise duty and sales tax on cigarettes to be enhanced.