Summary of Previous Lecture Planning

Planning Machinery Most countries of the world have established a planning agency of one kind or another for the planning of economy and administration. The structure, composition and the internal organization may vary from country to country but the functions they perform are almost similar. Planning agency is involved throughout in the planning process form formulation to implementation and then post implementation. Head of planning agency vary in different government systems. Staff of planning is selected from variety of specialists and generalists.

Planning in Pakistan Planning machinery -Planning Commission -Planning and development department / Board -District Government / Zila Councils Sanctioning Machinery  Federal Level  NEC  ECNEC-executive committee of national economic council  CDWP- central development working party Provincial Level -PDWP -Departmental Sub-committee District Level - Zila Council

Development Planning  The Colombo Plan  First Five-Year Plan  Second Five-Year Plan  Third Five-Year Plan  Fourth Five-Year Plan  Fifth Five-Year Plan  Sixth Five-Year Plan  Seventh Five-Year Plan  Eight Five-Year Plan  Vision plus conference

Chronology and Functions of Planning Machinery in Pakistan  Chronology of Planning Machinery  Development Board established in 1948 in the EAD (Economic affair Division)  Planning Board set up in First 5 year plan prepared for  National Planning Board established in 1957  Planning Commission setup under the Chairmanship of President in 1959  Functions  Consultation with:  Federal Ministries / Provincial Governments  Donors  Civil Society  Formulation of National Plan  Annual Plan  Five Year Plan  Rolling Plan  Perspective Plan (15-25 Years)  Project Management  Approval of Development Projects  Monitoring of Major Projects  Evaluation of on-going and completed projects

The budget process Constitution: -In Pakistan legal system, various provisions relating to budget appear in the constitution. -The budget when proposed as a bill before the parliament & once accepted is an act of parliament. -The procedure for general bills establishes that a bill can originate in either in national assembly or in senate.

Budget process… Once passed by the house in which it originates, it is transmitted to another house & if passed without amendment, is passed to the president for approval. The president must give his approval within 30 days. Once it receives presidential approval, it becomes a law.

Role of Nation Assembly Before its presentation to N.A., the budget is discussed by cabinet & approved. The rules then provide that the budget shall be presented to N.A. by the finance minister on a date determined by the head of the house. No other matter is discussed on the Budget day.

Role of Nation Assembly …. There then follow a period of at least two days before any discussion of the budget. At least four days must then be allocated for budget discussion.

Budget debate in national assembly The annual budget system is generally presented at the N.A. during the 2 nd week of June and is passed by the beginning of last week of June. This process generally leaves 12 to 17working days for the various stages in budget debate.

Role of senate in budget process Since 2003, it has been a requirement that the budget statement is copied to the senate at the same time as its presentation to the N.A. The senate may discuss the budget proposal & make recommendation to the N.A.

Role of parliamentary parties The parliamentary parties do not make organized advance preparation for budget debate. Some parties do hold meetings during two days break b/w presentation and debate &are briefed by financial experts.

Role of standing committees There are currently 41 N.A. standing committees, each corresponding to a federal ministry or division. However, the current structure and practice excludes standing committees from any role in budget process.