PESHAWAR: The Khyber Pakhtunkhwa government has slashed the developmental budget by 50 per cent for the ongoing financial year due to the coronavirus-induced financial crisis. Sources told Pakistan Today that due to the failure of the federal government to disburse net hydel profit, state transfers and other funds to provincial government, the province has reduced its uplift budget by 50 per cent. They said that due to low revenue generation, 90 per cent budget of the province depends on funds from the federal government in the form of net hydel profit and others. Sources said that departments have to pay the contractors for the ongoing projects and beneficiaries under a number of relief packages have to be paid as well. They said that due to cuts in this year’s development programme, the departments are also facing severe difficulties in formulating next year’s annual development programme.

Source: Pakistan Today May 20, 2020 18:11 UTC