As Pakistan continues to experience problems with its internal and external security, the federal cabinet on Friday recommended an increase in the defence budget of almost 16%.
According to the budget paper, the defence budget for 2023–24 will be Rs. 1,804 billion, up from the revised Rs. 1,591 billion for the current fiscal year.
Considering the recent depreciation of the rupee versus the dollar and record inflation, some say the 15.7% hike is justified.
A thorough examination of the budget’s specifics reveals that the $1,804 billion number leaves out funds totalling Rs563 billion for retired military pensions, Rs280 billion for the initiative to develop the armed forces and other necessary expenses, and Rs58 billion for UN peacekeeping missions.
The budget paper for 2023–24 states that of the total amount of Rs. 1,804 billion, Rs. 705 billion would go towards employee-related expenses, Rs. 442 billion will go towards running costs, Rs. 461 billion will go towards domestic purchases and the import of weaponry and ammunition, and Rs. 195 billion will go towards civil works.
Interestingly, the budget increases for all three services—the army, navy, and air force—were equal, though the army receives the lion’s share given its size and function.
Pakistan’s defence spending is currently 1.7% of its GDP, a decrease from the previous year. Due to the economy’s rebasing, the size of the country’s defence budget in 2022–2023 increased to almost 2% of GDP.
On average, Pakistan spends $13,400 per soldier, followed by India with $42,000, Saudi Arabia with $371,000, Iran with $23,000, and the United States with $392,000. The scale of their economies is far larger than Pakistan’s, which is where Pakistan differs from other nations.
Discussions surrounding defence spending have long been prevalent, with some calling for more openness and transparency regarding the military’s budget.
More information regarding the defence budget has been provided by the government in recent years. However, there has never been a public discussion of the issue in the parliament. According to observers, the rise in the defence budget is appropriate considering the upcoming threats to both internal and external security.
To combat the threat of terrorism, Pakistan continues to station thousands of troops along the western border and in the former tribal regions notwithstanding the withdrawal of US forces from neighbouring Afghanistan.
Similar to this, despite the restoration of the truce, tensions between Pakistan and India continue to exist.