The Pakistani government is looking at increasing spending on roads, education and healthcare by 58 percent by the next fiscal year to revive its economy hurt by floods and terrorism. It is reported that the government will spend 730 billion rupees ($8.5 billion) on the new development projects.
These government projects will accelerate the economic growth by 4.2 percent next year, creating more jobs and reducing the level of poverty. According to the country?s Planning Commission, Pakistan was forced to slash spending in the current year by 35 percent from its original target to reduce a possible budget deficit.
?Our economy is passing through a stabilization period after being hurt by floods, the security situation and rising inflation,? said Finance Minister Abdul Hafeez Shaikh. ?Our focus for the next year is to control spending and increase revenue.?
The government will unveil the federal budget in parliament on June 3.