THE ongoing budget preparation is being projected as a last budget before the upcoming general and, if our court so demands, local elections in the country. In our country, pre-election budgets are not witnessed very often owing to civil-military debacles. In this way, this budget for the financial year 2012-13 should specifically adhere to the wishes and problems of common people to secure a handful of votes.

Whereas, pre-budget facts and figures are already revealing mixed signs. According to reliable sources, the government is planning to generate mass employment opportunities; up to 10 million jobs and making 15 to 20 per cent raise in salaries and pensions.

Along with this, the central government is allocating more funds for development projects that will be carried out by itself and provincial governments in sectors like power, coal, dams, education, health, infrastructural development and so on.

Similarly, the finance ministry has proposed to impose only income tax and sales tax and reduce the tax slab of salaried class whilst minimum taxable income is being fixed to Rs0.4m.

Meanwhile, the government has pledged to continue with Benazir Income Support Programme and Benazir Youth Development Programme that devolve financial and professional benefits especially to lower and lower middle class in the country.

Notwithstanding this, perceiving the ground realities and priorities, no material benefit is likely to accrue for any common man.

As expected, the budget will mark deficit in double digit. And, in the already constrained budget, the planners are fixing the revenue to an astonishing figure of about Rs2338bn. And, as elections draw nearer, the IMF or any other loan or aid donor may not like to hold a meaningful dialogue with the outgoing economic team, so no money is likely to come to fill the deficit.

On the other hand, about 70 to 75 per cent of the total budget will be allocated to satisfy national debt-servicing and defence expenditure. Meaning, thereby, the government will have hardly any money to finance ambitious projects and promises.

The problem, actually, lies in our priorities and commitments. We have never framed any long-term strategy regarding socio-economic spheres other than defence equipment. We have made our country a security state that needs complete overhauling to transform it into a welfare state.

The progressive government has tried to gain cheap popularity by extending short-term benefits. It did not materialise any worthy project for employment generation, health security, educational standard, extending the tax circle to worthy and mighty taxpayers, improving law and order, controlling terrorism and corruption and the list goes on.

Now, will this government be able to improve governance, control terrorism, halt ethnic, sectarian and religious strife and minimise gender inequality in its last year? Will it bring tax-to-GDP ratio to double digits, extend quality education, medical facilities and housing schemes, and give jobs to competent youth in this year?

Will it be able to reduce power crisis? Will this security state be reshaped into a welfare state in this election year? However bleak the situation appears to be, we will continue to keep our hopes alive for any magical transformation.

MUHAMMAD AZAM SHAIKH General Secretary, Tax Bar Association, Larkana

Investment limit MONTHLY income from Behbood Certificate of National Savings Schemes is the lifeline of senior citizens, retired government servants, and pensioners as only persons who are above 60 years old can invest in this scheme.

The present limit of investment per individual is Rs3 million. In view of the rising cost of living and no other source of income for such people, in the new budget the limit should be increased to Rs5 million per person.

The finance minister is requested to consider this and include such a provision in the next budget.

KHALID R. QURAISHI Karachi