Defence spending jacked up by 11.1%

After Rs73b increase defence budget for 2014-15 stands at Rs700.2b. PHOTO: FILE

ISLAMABAD: 

Pakistan has raised its defence spending by 11.1 per cent for the coming fiscal year amid reports that the army is preparing for the final push against Taliban militants holed up in the tribal areas bordering Afghanistan.

Defence budget has been jacked up to Rs700.2 billion for the financial year beginning July 1, compared with Rs627.2 billion allocated in the outgoing fiscal year, showing an increase of Rs73 billion. The military had sought an increase of Rs173 billion.

Military officials defended the increase insisting that Pakistani military’s expenses are the lowest in the region given the volatile security environment.

The budget document presented before the parliament did not give a breakdown of the allocations for the three forces. But according to defence ministry officials, out of the whole defence budget, Pakistan Army gets 48% while 20% goes to air force and navy’s share is 10%.

According to the budget document, out of Rs700.2 billion, Rs293.5 billion has been allocated for employees-related expenses, Rs180.2 billion for operating expenses and Rs152.8 billion has been earmarked for physical assets.

However, the figures do not include Rs163.4 billion allocated for pensions of the servicemen that would be given from the civilian budget and a separate allocation for security-related expenses in a move which, critics say, seeks to conceal the actual defence budget.

Additionally, the military would also be given Rs165 billion under the contingent liability and Rs85 billion under the Coalition Support Fund (CSF). This means that in reality a whopping Rs1113 billion has been allocated for the military, which is about 28.2% of the country’s total budget.

Defence budget has remained a sensitive and controversial subject in the country where it has never been debated in detail in the parliament. Of late, however, there have been calls for a greater scrutiny. And Senate’s defence committee recently took the initiative to publicly discuss the military spending.

Pakistan raises its defence spending every year because of its historically uneasy relations with arch-rival India.

New Delhi earlier this year jacked up military spending by 10% for the coming fiscal year as it seeks to counter China’s rapid military buildup and its traditional rival Pakistan.

Defence analysts believe given the internal security challenges much of the increase in the defence budget by Pakistan is likely to be spent on the fight against militancy.