Punjab govt remains financially dependent for only 20 days


Lahore: Excluding a maximum of 20 days, Punjab government has consistently been dependent on monthly loans from State Bank of Banks, the regulator bank of Pakistan, for last 4 years, it is emerged.

Only a sum of about 20 days is the exception when Mian Shahbaz Sharif led provincial government remained successful to run the affairs on its own expenses.

“No or less improvement in economic policies is the real motive behind borrowing loans from the SBP,” provincial officials said.

 “Instability of the provincial government is also contributed to failure of tax collection system,” they added.

In March 2012, the Punjab government received Rs 55.75 billion from the federal government under the head of National Finance Commission (NFC) enabling it to run affairs during first week of March.

“But the provincial government again relied on SBP loans to run its operation for rest of the month,” the officials informed.

“The government had started April by receiving an amount of Rs. 23.25 billion;  however after paying of Rs. 10 billion on account of employees’  salaries, the government is left by only a balance of Rs. 11.75.”

“The provincial affairs could be run only for a week by the remaining amount and after that Punjab government has to borrow loan again from SBP.”