1 (39th Session) NATIONAL ASSEMBLY SECRETARIAT ————— “QUESTIONS FOR ORAL ANSWERS AND THEIR REPLIES” to be asked at a sitting of the National Assembly to be held on Monday, the 13th February, 2012 (Originally Starred Question Nos. 53, 15, 89, 92, 94, 98, 199 and 204 was set down for answer during the 37th Session) 53. *Mrs. Shagufta Sadiq: Will the Minister for Interior be pleased to state: (a) whether it is a fact that the smuggling of, different items is increasing at the entering points of the country; if so, the names of institutions/forces working alongside the borders of the country to control the said smuggling at present; (b) the steps taken to control the smuggling since March, 2008 till date; and (c) the achievements gained therefrom so far? Reply not received. 15. *Ms. Tasneem Siddiqui: Will the Minister for National Disaster Management be pleased to state the year-wise total amount of funds received by the government from foreign countries/NGO/Charity/Organization as aid for flood affictees during,the last three years till date alongwith the country- wise break-up thereof? Minister for National Disaster Management: Comments/Action taken.
Transcript
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(39th Session)
NATIONAL ASSEMBLY SECRETARIAT
—————
“QUESTIONS FOR ORAL ANSWERS AND THEIR REPLIES”
to be asked at a sitting of the National Assembly to be held on
Monday, the 13th February, 2012
(Originally Starred Question Nos. 53, 15, 89, 92, 94, 98, 199 and 204 wasset down for answer during the 37th Session)
53. *Mrs. Shagufta Sadiq:
Will the Minister for Interior be pleased to state:
(a) whether it is a fact that the smuggling of, different items isincreasing at the entering points of the country; if so, the namesof institutions/forces working alongside the borders of thecountry to control the said smuggling at present;
(b) the steps taken to control the smuggling since March, 2008 tilldate; and
(c) the achievements gained therefrom so far?
Reply not received.
15. *Ms. Tasneem Siddiqui:
Will the Minister for National Disaster Management be pleased tostate the year-wise total amount of funds received by the governmentfrom foreign countries/NGO/Charity/Organization as aid for floodaffictees during,the last three years till date alongwith the country-wise break-up thereof?
Minister for National Disaster Management: Comments/Actiontaken.
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(1) NDMA received an amount of US$ 7.7 million (approximately) andRs. 7.0 million from donor countries/INGOs during the last three years(Annex-A). Moreover, the donations received were of generic and were notspecifically aimed at funding flood affectees.
(2) Economic Affairs Division is the coordinating forum for receivinggrants and loans on behalf of Government of Pakistan. It has been informed byEAD that a grant of 215.6 million US Dollar and loan amounting to US$ 450.6million totaling to 666.2 million US$ was received during the budget year 2010-11.During the financial year 2011-12(till date), the foreign assistance received forflood was 118.0 million US$ which consisted of 41.1 million US$ as grant and76.9 million US$ as Loan. The accumulated grant and loan for the last two financialyears equals to 784.2 Million US$ comprising 256.7 Million US$ Grant and 527.5Million US$ as Loan (Annex-B)
EAD has further observed that the Government of Pakistan has not so farreceived any aid from NGO/Charity for flood affectees during the last three year.
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89. *Mrs. Shagufta Sadiq:
Will the Minister for Interior be pleased to state:
(a) whether it is a fact that livestocks being smuggled to Afghanistanand Iran;
(b) if so, the steps being taken to control it?
Reply not received.
92. *Dr. Abdul Wahid Soomro:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state whether it is a fact that the government hasinitiated several austerity measures during the last three years tilldate to reduce the government expenditures; if so, the total amountsaved therefrom?
Minister for Finance, Revenue and Planning and Development:No. The Austerity Measures have been imposed since March, 2011 and expectedsaving is Rs. 5.366 Billion.
94. *Mr. Wasim Akhter Sheikh:
Will the Minister for Interior be pleased to refer to Starred QuestionNo.10 replied on 21-7-2011 and to state:
(a) whether it is a fact that Ministry is the line Ministry and thefocal point is FIA for International Convention on Protectionof Migrant Workers;
(b) if so, the reasons for not signing the convention by the Ministryso far; and
(c) the steps being taken to become signatory to the said Conventionon Protection of Migrant Workers?
Reply not received.
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98. *Ms. Parveen Masood Bhatti:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state whether it is a fact that more than 1800 metricton flour is being smuggled to Afghanistan monthly via Tribal Areas;if so, the steps being taken by the government to control the saidsmuggling?
Transperred to the Interior Division for answer on next Rota Day.
199. *Ms. Kishwar Zehra:
Will the Minister Finance, Revenue and Planning and DevelopmentDivision be pleased to state:
(a) whether it is a fact that the State Bank of Pakistan has failed tokeep a balance between Inflation and growth during the fiscalyear 2010-11; if so, the reasons thereof; and
(b) the steps taken to maintain balance between inflation andgrowth?
Minister for Finance, Revenue and Planning and Development:(a) The targets for real GDP growth and inflation for 2010-11 (FY11) were setat 4.5 per cent and 9.5 per cent respectively. An exogenous shock in the form ofdevastating floods in beginning of the fiscal year, which disrupted productive activitiesand supply chain, affected both growth and inflation.
In addition, growth was also affected by failing investment in view ofdeteriorating law and order situation and continued energy shortages. Interactionof these factors led the real GDP growth to decelerate to 2.4 per cent in FY11from 3.8 per cent in FY10 and against the target of 4.5 per cent for the year.
The impact of floods was not limited to growth but it also caused a spikein inflation. This surge in inflation also reflected the impact of increase in electricityand gas prices and frequent adjustment in domestic oil prices in line with trends ininternational market.
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(b) The following steps have been taken to maintain balance between inflationand growth:—
(i) The SBP under their tight Monetary Policy curtailed the inflationthrough policy rate.
(ii) The year on year inflation Consumer Price Index (CPI) declined to9.7% in December, 2011 as compared to 15.5% in December, 2010.
(iii) Fiscal deficit is kept under possible control and restraint is appliedon borrowing from the SBP.
(iv) To maintain fiscal discipline, the government has focused on prudentexpenditure management.
(v) The Cabinet also review inflationary trend and prices of essentialcommodities in its meeting on fortnightly basis.
(vi) These above measures have striked a balance between inflation andgrowth as evident that Large Scale Manufacturing (LSM) Sectorhas witnessed a positive growth of 2.1% during July-October, 2011as compared to negative 2.1% during the same period of 2010.
204. *Mr. Mohammad Pervaiz Malik:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether there is any proposal under consideration to revisit theguidelines issued by the State Bank of Pakistan under theprovision of Section-33 (b) of the Banking Companies Ordinance,1962;
(b) If so, the detail thereof; if not, the reason thereto;
(c) the criteria adopted for monitoring Board of Directors of theBanks with regard to write off loan; and
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(d) the criteria adopted to appoint/nominate the Directors of Boardof the Banks alongwith the role of government in suchappointments/nominations?
Minister for Finance, Revenue and Planning and Development:(a) & (b) There is no proposal under consideration to revisit the guidelines byState Bank of Pakistan (SBP) under Section-33(b) of the Banking CompaniesOrdinance,1962.However on the directives of PAC amendments in RecoveriesOrdinance are under process. Moreover Supreme Court of Pakistan in a SuoMoto case has constituted a commission to examine write off cases of all banks.Therefore, further guidelines if so required will be issued by SBP after decision ofthe apex Court.
Moreover the last instructions on write-off of irrecoverable loans andadvances were issued by SBP vide BPRD Circular No. 6 of 2007 dated June 5,2007. SBP, vide the said instructions, while outlining the minimum guidelines to beobserved in considering any write-off, instructed the Banks/DFIs that theirrecoverable bad loans shall continue to be written off by the banks/DFIs withthe approval of respective Board of Directors (BODs) under a well defined andtransparent write-off policy. Now, the Banks/DFIs, are mostly in private sector,and authorized to assess and decide the cases of irrecoverable loans/advancesand to write-off, in compliance of the write-off policy duly approved by therespective BoDs.
(c) SBP, through off-site surveillance and on - site inspection of thebanks/DFIs, monitors the performance of the bank/DFI as well as the performanceof the respective management and BoDs for ensuring compliance with theapplicable laws and regulations. In case of non-compliance appropriate regulatoryactions including imposition of penalties are initiated against the relevant bank/DFI.
(d) State Bank of Pakistan has issued Fit and Proper Test (FPT) Criteriavide BPRD Circular No.4 of 2007, regarding the appointments of Board membersand President/CEO of banks, so as to promote good corporate governance andto encourage the President/CEO and Board members to play an effective role inpolicy making and management of their institutions. The fitness & propriety ofDirectors/Presidents of Banks is assessed under Fit and Proper Test Criteria whichconsist the following elements:
(a) Integrity, Honesty & Reputation
(b) Track Record
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(c) Solvency & Integrity
(d) Qualification & Experience
(e) Conflict of Interest
84. *Ms. Nighat Parveen Mir:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state the steps being taken to, attract people forInvestment in the National Saving Schemes?
Minister for Finance, Revenue and Planning and Development:Various steps are being taken to attract people for investment in National SavingSchemes(NSS). Some of these are as under:—
(i). Competitive/attractive rates are being offered on various schemesspecially for Pensioners’ Benefit Account & Behbood SavingsCertificates.
(ii). For public awareness and to guide them for investment in NSS,publicity campaigns are being carried out through print & electronicmedia.
(iii). For safety and security of common man, CCTV Cameras and BurglerAlarms system have been installed in most of the National SavingsCentres(NSCs).
(iv). In order to provide quality and prompt services to the public,automation of NSCs is in process.
(v). A new prize bond of Rs.25,000/- denomination has been introducedon lst February, 2012.
(vi) National Saving Centres are being shifted to better locations and inspecious buildings.
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85, *Ms. Nighat Parveen Mir:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) the total amount of circular debt at present;
(b) the reasons of increasing the said circular debt; and
(c) the steps being taken by the government to control thesaid debt?
Minister for Finance, Revenue and Planning and Development:(a) The position of Inter-corporate Circular Debt as on 07/02/2012 is as under:—
(b) Reasons of increasing circular debt are as follows:—
(i) Partial transfer of tariffs as determined by NEPRA.
(ii) Non recovery of dues of electricity bills from Provincial/FederalGovernment departments as well as from private sector.
(iii) Heavy line losses (Present level of line losses is 20%).
(iv) Incomplete corporatization.
(v) Weak Governance.
(vi) Costly fuel mix putting extra financial burden to meet the cost of fueloil due to constant increase in the oil prices.
(vii) Inadequate oil handling facilities leading to lesser supply of fuel thatthe required quantity.
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(viii) Dependence on expensive Thermal Generation due to decreasedHydel power (Hydel: 31% Thermal –RFO/Gas: 65%).
(c) The major portion of inter-corporate circular debt emanates fromthe non payments by PEPCO and KESC. The following measures have beentaken by Government of Pakistan to control the circular debt.
The Federal Government decided to transfer bank loan liabilities ofRs.216 billion (as of 30-06-2009) from the books of powercompanies and place these amounts with the Power Holding (Pvt)Limited (PHPL) established under the Ministry of Water & Power.
Finance Division in September, 2009 took over whole of the pastarrears of FATA receivables Rs.85.114 billion through Power HoldingCompany to clear power sector inter-corporate circular debt.
Power sector was allowed to transfer cost of power to the consumersthrough tariff increase by 6%, 12%, & 6% in three quarters on 1stJanuary, 1st April & 1st October, 2010.
During financial year 2010-11, Finance Division released Rs.65 billionto PEPCO as soft term loan over & above the budgetary allocationto overcome its operational shortfall and to make necessary paymentsfor the purchase of oil. Later on this loan was converted into Tariffdifferential Subsidy to be adjusted against arrear of tariff differentialof PEPCO.
Ministry of Water and Power with the approval of Prime Ministerreleased Rs.120 billion to PEPCO to clear PEPCO’s arrears oftariff differential of all subsidies upto 30-06-2011. In additionRs.11 billion has also been released to PEPCO by Ministry of Waterand Power through supplementary grant.
Ministry of Finance has released Rs.391,018 million to PEPCO/KESC on a/c of tariff differential subsidy during the financial year2011-12 which includes Rs.312,768 million for settlement of powersector debt.
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86. *Raja Muhammad Asad Khan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the big tax defaulters of the countryhave not been included in the tax net work so far;
(b) whether it is also a fact that the records of the persons presentlyresiding in the posh areas of the country as well as the personsspending their vacations abroad every year have been preparedby FBR to include in the tax net work; if so, the criteria adoptedtherein; and
(c) whether it is further a fact that FBR has felled to collect taxfrom big tax defaulters; if so, the reasons alongwith the numberthereof?
Minister for Finance, Revenue and Planning and Development:(a) At the outset a distinction is required between a “tax evader” and a “taxdefaulter”. In the first situation a person manages to stay out of the tax net, whereas,a tax defaulter is essentially in the tax net but defaults in the payment of the due tax.It is thus incorrect to infer that big tax defaulters of the country have not beenincluded in the tax net so far. The FBR has issued clear instructions to the fieldformations for the crackdown against the tax defaulters for prompt recovery ofthe revenue due from them.
(b) It is a fact that information pertaining to the properties located inposh areas, purchase of luxury vehicles and expenses incurred on air travel etc isbeing collected by FBR for broadening of the tax base and expanding the tax net.
(c) It is incorrect that FBR has failed to collect tax from big tax defaulters.As per standard procedure as soon as tax demand is raised in any case, theenforcement wing comes into action for recovery of the payable tax.
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87. *Malik Shakir Bashir Awan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that sales tax returns have not been filed inFBR by the National Logistic Cell (NLC), FWO and other suchorganizations; if so, the reasons thereof; and
(b) the action taken by FBR against those organizations who havenot filed their sales tax returns during the year 2010-11 till date?
Minister for Finance, Revenue and Planning and Development:(a) The National Logistic Cell is registered under the Sales Tax Act, 1990 sinceJune, 2010 vide STRN 0300901310213 and is regularly filing monthly sales taxreturns.
(b) Frontier Works Organization was established in 1966 as aconstruction and Military Engineering administrative branch of the Pakistan Army.It is exempt from levy of tax under section 49 of Income Tax Ordinance, 2001being part of Federal Government. As regard the payment of Sales Tax by FWO,Military Accountant General is reporting the amount withheld/collected byCMA(FWO) in the statement being submitted regularly on monthly basis. Otherorganizations such as Pakistan Ordinance Factories, Heavy Mechanical Complexand Wah Industries Limited are also registered in Sales Tax and are regularly filingtheir sales tax returns.
88. *Mrs. Nisar Tanveer:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) the year wise taxes/duties collected from the petroleum sectorduring the last four years till date alongwith the ratio of suchcollection in overall GDP of the country;
(b) whether, it is a fact that government is generating funds byimposing exclusive taxes and duties; if so, the details alongwiththe Justification thereof; and
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(c) the mechanism adopted by the government to spend thedevelopment levy only on gas infrastructure?
Reply not received.
89. *Ms. Tahira Aurangzeb:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) the total amount of loan borrowed/obtained by the governmentfrom national and foreign banks/institutions during the periodfrom 1-9-2011 till date; and
(b) the payable amount of Interest thereupon at present?
Minister for Finance, Revenue and Planning and Development :(a) The amount of public debt borrowed/obtained by the Government from localnational banks/ institutions during the period from 1-9-2011 till end December2011 is Rs. 538.3 billion. Out of this amount, public debt instruments worthRs. 391 billion were issued as part of exercise of consolidation of outstandingpower sector debt as well as the pending unpaid subsidy on commodity operationsin November, 2011.
(b) The payable amount of interest on domestic is Rs. 67.3 billion.
90. *Ms. Tahira Aurangzeb:
Will, the Minister for Finance, Revenue and Planning andDevelopment be pleased to state whether it is a fact that the economiccondition of the country has been improved during the year 2011-12;if so, the details thereof?
Reply not received.91. *Mr. Mohammad Pervaiz Malik:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) the year-wise projected growth rate of GDP during the last 4years;
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(b) the year-wise growth rate of GDP achieved during the saidperiod;
(c) Whether it is fact that projected growth rate of GDP has notbeen achieved during the said period; if so, the reasons thereof;and
(d) the steps being taken to achieve the projected growth rate ofGDP in the country?
Minister for Finance, Revenue and Planning and Development:(a) & (b) The year-wise projected and achieved growth rates of GDP during thelast 4 years is given below:———————————————————————————————
Projected Achieved——————————————————————————————
2007-08 7.2 3.7
2008-09 2.5 1.7
2009-10 3.3 3.8
2010-11 4.5 2.4——————————————————————————————
(c) The projected growth rate could not be achieved during the saidperiod because of internal and external factors such as:—
Global financial crisis
High oil prices
Decline in foreign inflows, Volatile security situation,
Acute energy shortage,
Persistent inflationary pressures.
Affects of devastating floods of 2010-11
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Intensification of war on terror,
(d) Following steps have been taken to achieve the projected growthrate of GDP:—
Crop support price policies.
Fiscal austerity to reduce fiscal deficit.
Tax administration and policy reform to mobilize domestic resources.
Promoting exports.
Incentivizing home remittances.
Rationalizing subsidy regime to reduce pressure on the budget.
Promoting growth and raising domestic revenues.
Strengthening social safety net.
Public Sector Enterprises Restructuring.
Power Sector Reforms.
Building foreign exchange reserves to stabilize the exchange rate.
92. *Rana Mahmood -ul- Hassan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:(a) the detail of funds to be transferred to Balochistan under the
“Aghaz-e-Haqooq Balochistan Package”;
(b) the detail of funds proposed to be transferred to Balochistan ason December 31st, 2011 under the said package;
(c) the details of funds having been transferred to Balochistan underthe said package; and
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(d) the time by which the remaining amount will be released toBalochistan under the said package?
Minister for Finance, Revenue and Planning and Development:(a) The detail of funds to be transferred to Government of Balochistan underAghaz-e-Haqooq-e-Balochistan Package (AHBP) is as under:—
(i) Gas Development Surcharges (GDS) arrears prior to 1991 amountingto Rs.120 billion payable in 12 years.
(ii) Funding for four years on account of creation of 5000 posts forgraduates of Balochistan. As per estimates of Government ofBalochistan, the total funding works out to be Rs.3.418 billion to beprovided in four years.
(iii) Release of Rs.1.0 billion for resettlement and rehabilitation of IDPsin Dera Bugti.
(b) Rs.10,000.0 million has been allocated on account of GDS arrearsin FY 2010-11, out of which Rs.5,299.8 million has been releasedas on 31st December 2011.
Rs.808.770 million has been allocated for 5000 posts in FY 2011-12and out of which Rs. 404.384 million has been released as on31st December 2011.
(c) The detail are as under:—
(i) Gas Development Surcharge (GDS)
FY 2010-11 Rs. 10.00 billionFY 2011-12
(Upto 31-01-2012) Rs. 6.183 billion
Total Rs.16.183 billion
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(ii) Creation of 5000 Posts
FY 2009-10 Rs. 0.200 billion
FY 2010-11 Rs. 0.740 billionFY 2011-12 .
(Upto 31-01-2012) Rs. 0.607 billion
Total Rs.1.547 billion
(iii) Rehabilitation and resettlement of IDPs in Dera Bugti
FY 2009-10 Rs. 1.0 billion
(d) The remaining funding will be provided as per phasing given in thePackage and explained under (a) above.
93. *Rana Mahmood -ul- Hassan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether performance of FBR has been assessed since March,2008 till date especially with regard to resolve the revenueleakages, fraudulent refunds, failure of 100% collection andexpansion of tax net by the institutions; if so, the details thereof;
(b) the year-wise estimated revenue leakage on the above accountsduring the last four years; and
(c) the steps being taken to ensure good governance and make theFBR accountable?
Minister for Finance, Revenue and Planning and Development:(a) FBR’s revenue performance vis-a-vis the targets since March, 2008 isenclosed as Annex-A. It is a fact that revenue performance of the FBR is regularlyassessed and monitored by the Government and the areas of weakness are identifiedfor corrective action. Performance of FBR is monitored not only through a stronginternal control system but also through external agencies. Internally there is
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hierarchical supervision at different tiers and levels. Added to this Internal Auditand Intelligence & Investigation wings separately for Customs and Inland Revenueare strong tools of internal controls. Besides performance of FBR and its fieldformations is also monitored through external audit by the Auditor General ofPakistan, Departmental Accounts Committee and Public Accounts Committee(PAC) of the Parliament.
In addition to the above formal arrangements informal institutions like mediaand Press, different trade bodies, Tax Bars, Chambers and trade associations etckeep vigilant eye upon the performance of FBR which help in improving revenuecollection.
(b) It may not be possible to actually calculate any revenue leakages. Inthis regard different studies have been made and all their estimates are merelybased on assumption. Notwithstanding these assumptions FBR and its fieldformations are making all out efforts to plug the leakages, if any. For this purposedifferent tools like audit, enforcement, vigilance, intelligence, survey, third partydata etc are being applied which are contributing towards improving revenuecollection.
(c) Different measures have been taken to ensure good governance andaccountability of FBR. Some of these measures are summed up asbelow:
Business Processes Re-engineering: The focus, during the courseof Tax Administration Reform Project(TARP), has been on revampingthe business processes of all the tax administrations including Customsand Inland Revenue.
Increased Automation: In order to achieve minimum physicalinteraction between taxpayer and tax collectors reliance has beenplaced on automated processes. For this purpose Pakistan Customsis, presently, utilizing two different softwares namely WeBOC andOne Customs which have not only reduced the interaction to anoptimum level but has also led to significant reduction in time takento clear the consignments from days to even hours in cases where no
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discrepancies are observed. Similarly on inland revenue side variousautomated programs like ERS, STARR etc are being used to ensuretransparency and quick disposal. Added to this FBR has its owndedicated web site where updated information in respect of all FederalTaxes is available for facilitation and guidance of the taxpayers.
Simplification of Procedures: A major effort has been put in placeto simplify the existing Procedures and to make them readily availableto the general public through all the available means in order to fulfilthe broader goals of provision of transparent and high quality services;
Effective monitoring of Afghan Transit Trade (ATT):
FBR has taken various measures to streamline the Afghan TransitTrade which include submission of financial guarantees for transitcargo and Afghan vehicles, transportation of Transit cargo throughcustoms licenced bonded carrier (with sufficient financial securities)only to avoid misuse of transit facility, scanning of transit consignmentsat the port of entry etc.
Valuation: In order to check under invoicing. FBR has introduceda new online system called “Valuation Gateway”. Through thissystem the value of goods with different origins can be checked withspeed and accuracy.
Abolition of discretionary powers of officers through amendment inFederal Fiscal Laws, establishment of Federal Tax Ombudsman,enhanced reliance on IT are the basic tools to make FBR moreaccountable. Besides, internal controls like Intelligence &Investigation, Internal Audit and Vigilance wings are being strengthenedto monitor worming of the tax collecting department.
All the above measures have resulted in good governance andaccountability of the department.
2011-12 (July to 840.0 840.8 100.10December, 2011)Provisional
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94. *Mr. Wasim Akhter Sheikh:
Will the Minister for Interior be pleased to, state the steps, beingtaken to control the human trafficking from the country?
Reply not received.
95. *Raja Muhammad Asad Khan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the government has obtained loans ofRs.3.7 trillion from banks during the year 2011-12; if so, thereasons alongwith the bank-wise details thereof; and
(b) whether it is also a fact that the said loans were obtained onhigh interest rate; if so, the justification thereof?
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Minister for Finance, Revenue and Planning and Development:(a) No. The government obtained only Rs. 734.4 millions from local bankingsources up to December 11. Break up for this is as under:
(Rs. Billions)——————————————————————————————
Total from banking sector 734.4
From SBP 124.4
From Scheduled Banks 610.0——————————————————————————————
(a) In November, 2011 Government consolidated the outstanding PowerSector Debt as well as pending unpaid subsidy on commodityoperations by issuing public debt instruments. These claims pertainedto previous years’ unpaid subsidy claim and the amount wasRs.391billion. This amounted to bringing the debts outsideGovernment books into the books.
(b) These are tradable instruments with active secondary markettherefore, the ownership continue to change on daily basis.
(b) The loans were obtained on prevailing market interest rates on averageof 12.46% as compared to 13.27% p.a. of last year.
96. *Begum Nuzhat Sadiq:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether post-budget assessment is carried out in order to identifythe overall impact of budget upon common man of the country;if so, the details of assessments made during the last four financialyears; and
(b) the criteria adopted to carry out such assessments?
Minister for Finance, Revenue and Planning and Development:(a) No.
(b) Not applicable.
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97. *Begum Nuzhat Sadiq:
Will the Minister for Finance, Revenue and Planning and Development
be pleased to state:
(a) the mandate of Planning Commission upon which it was actually
established;
(b) whether it is a fact that the status of the Planning Commission
has been shifted to the Ministry of Finance; if so, the justification
thereof; and
(c) the steps being taken to restore the status of Planning
Commission in order to bring structural improvement for better
outcomes?
Minister for Finance, Revenue and Planning and Development:(a) Planning Commission was established in 1958. Previously, there was aDevelopment Board set-up in early 1948 upto 1952 under the administrativecontrol of the Economic Affairs Division and under the President Secretariat. In1953, it was established as “National Planning Board”. In 1957, it was set-upas a permanent “Planning Board” later re-designated as. “National PlanningBoard”. In 1958, it was re-designated as “Planning Commission” under thePresident Secretariat within the Economic Affairs Division. In 1959, its objectiveswere defined by the Cabinet Division. In 1961, its status was enhanced andfunctions re-defined and an independent “Planning & Development Division”was created. In 1962, the P&D Division was strengthened after merger therein ofProgressing Wing and Projects Division of the Ministry of Economic Affairs. In
2006, it was re-vamped as “Planning Commission” as the apex planning andcoordination body of the country to ensure an effective role.
(b) Planning Commission and its status has not been shifted anywherehowever, Planning and Development Division has been placed under the Ministryof Finance in 2011.
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(c) Seven Members out of Nine are working in MP-I Scale. In addition,Parliamentary Secretary has also been included as Member. Also, five (5) Advisorshave been appointed in MP-I including one Senior Advisor and two (2) Advisorsin MP-II.
(Originally Unstarred Question Nos. 119, 183, 22, 27, 2, 7, 91, 101, 120,177, 179, 185 and 187 were set down for answer during the 37th Session)
119. Ms. Qudsia Arshad:
Will the Minister for Interior be pleased to state the total amount offinancial assistance given to each religious educational institution inthe country by foreign countries/institutions during the last 5 years?
Minister for Interior (Mr. A. Rehman Malik): The ProvincialGovernments including Governments of AJK and Gilgit Baltistan, have informedas under :
Home department has added that, as per report of SP.branch of SindhPolice,some heads of religious institutions do visit of Saudi Arabia , Kuwait UAE& collect funds for their institutions.
Whereas Government of Gilgit Baltistan has intimated Nil report in respectof their districts Ghizer and Hunza-Nagar, but report of their remaining 5 districtsis awaited.
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2. Government of KPK has stated that the Provincial Government hasno such mechanism to ascertain the details of financial assistance extended/provided by foreign countries/institutions to the Deeni Madaris of KhyberPakhtunkhwa, because there is no restriction/bar on receiving of such financialassistance by respective Deeni Madaris. However, certain information ascertainedthrough KPK Special Branch Police in respect of 08 Madaris of different districtof KPK is as under:—
(Rs. in Million)——————————————————————————————S. No. Name of Address Name of Financial
Madrassa Country Assistance——————————————————————————————
6 Madrassa Abu Kot Azam -do- .375Bakar TankSaddique
7 Madrassa Kot Azam -do- .520Islamia Tank
8 Madrassa Kot -do- .520Mariful Islam Bhatyara
——————————————————————————————Total: 30.466 Million
——————————————————————————————
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183. Ms. Shaheen Ishfaq:
Will the Minister for Interior be pleased to state the names ofJournalists to whom NOCs have been issued since 1-3-2010 to1-3-2011 for visits abroad by the Ministry alongwith the names ofcountries?
Reply not received.
22. Mr. Humair Hayat Rokhri:
Will the Minister for Interior be pleased to state:
(a) the location-wise number of legal and illegal settlements inIslamabad at present; and
(b) the authority who granted the approval to maintain those illegalsettlements for many years?
Reply not received.
27. Ch. Saud Majeed:
Will the Minister for Interior be plowed to state;
(a) the year and district-wise total number of licences of prohibitedbore issued by the Ministry during the last four years; and
(b) the procedure and criteria adopted for issuance of those licenses?
Minister for Interior (Mr. A. Rehman Malik): (a) The requisiteinformation has been Annexed as A & B.
(b) Prohibited bore arms licences were issued in accordance with thepolicy on the approval of;
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(a) Prime Minister
(b) Minister for Interior
(c) Minister of State for Interior
At the moment, after passing of 18th amendment new arms Policy is underconsideration.
(Annexures have been placed in the National Assembly Library)
2. Ms. Khalida Mansoor:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state the year-wise total number of persons/capitalists/landlords whose loans have been written off by the government duringthe year 2008-09 till date alongwith the details thereof?
Minister for Finance, Revenue and Planning and Development:From FY 2008-09 till date, loans to the tune of Rs. 3.2 billion have been writtenoff through budgetary support under fiscal relief packages of GoP. Year-wise detailsof the these are as under:—
I. Loans of calamity hit areas of Malakand Division and other areasWritten-off under Prime Minsiter’s Relief Package announcedin Kissan Conference 2009:
(Amount in Rupees)——————————————————————————————
Year No. of Borrowers Written- Off Loans——————————————————————————————
II. Loans of War Affectees of Khyber Pakhtunkhwa/FATA/PATAwritten off under Prime Minister’s Fiscal Relief Package to RehabilitateEconomic Life in NWFP, FATA & PATA, 2010.
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(Amount in Rupees)——————————————————————————————
Year No. of Borrowers Written- Off Loans——————————————————————————————
2008-09 None None
2009-10 None None
2010-11 13463 1.09 billion
& 2011-12——————————————————————————————
7. Shaikh Rohale Asghar:
Will the Minister for Interior be pleased to state the names of thoseagencies/departments of the Ministry working to control smugglingof various items at entry/exit points of the country alongwith thedetails of performance made by those agencies/departments duringthe last three years till date?
Reply not received.
91. Mrs. Nisar Tanveer:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that 15% increase made during the budget2011-12 in pension and medical allowances are not being grantedto the employees of Old Age Benefit Institution; if so, the reasonsthereof; and
(b) whether there is any proposal under consideration to providesuch increase to the pensioners of EOBI; if so, when it will beimplemented?
Transferred to Human Resources Division for answer on next Rota Day.
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101. Mr. Muhammad Riaz Malik:
Will the Minister for Interior be pleased to state:
(a) whether target killings have been ended throughout the countryor still continue; and
(b) the reasons of target killings in the country at present?
Minister for Interior (Mr. A. Rehman Malik): (a) & (b) Punjab
No case of Target Killing is registered during the period from 1st Januaryto 30th November 2011 in the Punjab Province.
ICT
(a) It is submitted that during the current year, no incident of target killingtook place with ICT. Hence, report in the matter may be treated asNil.
(b) Following are reasons attributed to the target killing in the country:—
i. Family enmity
ii. Business rivalry
iii. Acquisition of land through unfair means.
iv. Spreading of Terrorism within the country by the Militants todestabilize the Law & Order situation.
Khyber Pakhtunkhwa
(a) Yes, target killing is still continued in this Province as is evident fromthe following statistics for the period from 01-01-2011 to 15-11-2011.———————————————————————————————————————————
Province Cases Person Killed Person InjuredReg ———————————————————————————————
S.# Year Accused arrested Cases Detected / Challan——————————————————————————————
1. 2010 64 1152. 2011 220 334
——————————————————————————————Total: 284 449
——————————————————————————————
Reasons:
(1) Recent demographic changes.
(2) Ethnicity, sectarianism, and factional in-fighting.
(3) Clashes between Land and Bhatta Mafia.
(4) Deep mistrust among the ethnic groups.
(5) Easy access to illicit weapons and misuse of Arms License.
(d) Balochistan
In Balochistan Province the Target killings seem to have been adopted asthe foremost instrument of terrorism more recently. It marks a change of tactics.The terrorist incidents seemed to have been carried out more for harassment thancausing casualties; consequently, there were bomb blasts on unfrequented roads/streets and rockets landing in open areas or wilderness causing little casualties.The new tactic has not only increased substantially the casualties figure, it hasadded to the greater insecurity among the targeted groups i.e. Settlers, LEAs, and
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Shias. From last six months there is gradual decrease in target and sectarian killingsthis is all because of government initiatives for improvement of law and ordersituation in the province.
2. This change of Tactics gives substance to the claims that either newgroups have joined in the activity or that different groups (BLA, BRA, BLUF,BLF, LJh, & Criminal Gangs) have developed a nexus. In either of the two cases,there is strong probability that some outside forces are actively patronizing theactivity. Placed below the last four years figures explain the position clearly:—
3. At present the target killing in the province has not been ended but iscontrolled to some extant because of the measures taken by the provincialgovernment.
(e) AJ&K
No target killing case has been reported so far in Azad Jammu & KashmirTerritory.
120. Sheikh Salahuddin:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that house rent allowance @45% is beingdeducted from the salaries of both the husband and wife, ifgovernment accommodation is allotted to one of them; if so,the justification thereof; and
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(b) whether there is any proposal to deduct the said allowance onlyfrom the allottee?
Minister for Finance, Revenue and Planning and Development:(a) Yes. House Rent Allowance (HRA) is not allowed to both husband and wife ifboth are posted at the same station and are living together in a residentialaccommodation provided by the Government due to the following reasons:—
(i) House Rent Allowance is a concession given to Government servantsto enable them to hire an accommodation.
(ii) In case none of the two spouses are provided a Governmentresidence, there is a justification for permitting them to pool theirrespective HRAs. But in a situation where a Government house isprovided to one of the spouses, there is no justification or logic toallow the other House Rent Allowance.
(iii) Provision of Government accommodation by itself is a very bigconcession in their case.
(iv) Grant of house rent allowance is in substitution of, and not insupplementation of the provision of Government accommodation.
(b) There is no such proposal under consideration of the Government.
177. Mrs. Nisar Tanveer:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether country’s external account firm enough to absorb theinitiatives announced in recent monetary policy especially withregard to high Inflation rate in the country; if so, the detailsthereof; and
(b) the outcome of the monetary policies announced during the lastthree years till date?
Minister for Finance, Revenue and Planning and Development:(a) Yes, the country’s external account is firm enough to absorb the initiativesannounced in recent Monetary Policy. SBP reduced the policy rate by 200 basis
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points during July -October 2011 as inflation was expected to fall within the FY12target and Government borrowings from SBP were expected to remain restrained.The recent inflation rate suggests that it has declined to single digit 9.7 in December2011. The decision also incorporated a possible impact of increase in economicactivity on external current account following reduction in the policy rate.
(b) SBP had to adopt a tight Monetary Policy stance in 2008, raising thepolicy rate by 500 basis points from January to November 2008, to reign indemand pressure in the economy and bring inflation down. Given that MonetaryPolicy affects the economy with a time lag, usually between 6 to 24 months, theimpact of this monetary tightening started to appear in 2009. Both the currentaccount deficit and inflation declined sharply in FY10 from their peak levels inFY09. This provided SBP an opportunity to change its Monetary Policy stance,by decreasing the policy rate by 250 bps during April to November 2009, tosupport investment in the economy. The impact of this decrease in the policy rate,however, remained muted because of the structural bottlenecks, particularly energyshortages and deteriorating law and order situation.
179. Ms. Shaheen Ishfaq:
Will the Minister for Interior be pleased to state the names anddesignations of government employees whom NOCs have been issuedby the Ministry for visiting abroad since 15th March, 2008 till datealongwith the names of countries?
Reply not received.
185. Shaikh Rohale Asghar:
Will the Minister for Finance, Revenue and Planning andDevelopment be pleased to refer to Starred Question No. 64 repliedon 18-11-2011 and to state that the department-wise approval/permission granted by the Ministry to purchase new vehicles since15th March, 2008 till date alongwith the details thereof?
Minister for Finance, Revenue and Planning and Development:The department-wise detail of Vehicles purchased by 15th March, 2008 till dateare annexed.
(Annexure has been placed in the National Assembly Library)
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187. Ms. Kishwar Zehra:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state whether it is a fact that embezzlement has beendone in the account of National Bank Staff Welfare Funds during thelast three years till date; if so, the details thereof alongwith the actiontaken against the responsibles?
Minister for Finance, Revenue and Planning and Development:On the same issue. Syed Jehangir has filed Constitutional Petition No.43/2011 inSupreme Court of Pakistan against Federation of Pakistan through Secretary,Ministry of Finance and others stating therein that Rs. 2 billion from the NBPEmployees Welfare Fund were misappropriated, misused and embezzled by highups of the bank and requested the court to give order for immediate recovery oflooted amount by directing FIA to take stern action against culprits.
2. Case was fixed for hearing in Supreme Court of Pakistan on 2ndJune, 2011. The honorable court called for para-wise comments from respondentstill 8th June, 2011. The para-wise comments prepared on the basis of informationreceived from NBP and duly vetted by Law, Justice and Parliamentary AffairsDivision were filed in the Apex Court.
3. The actual scheme of Welfare Funds as envisaged by the then PakistanBanking Council in 1988 was never materialized as no rules / by-laws regardingprocedural and legal aspects were finalized nor any Board of Trustees wasconstituted. As such no “Welfare Fund for Bank’s staff’ was ever constituted.However, NBP on its own initiative and for its own employees allocated 3% in1985, 4% in 1986 and 5% in 1987 till 2004 of its yearly gross profits in the ratiosof 70% (for equal distribution to all employees) 20% (performance based) and10% (benevolent purpose).
4. It is also pertinent to point out that under the Banks (Nationalization)Act, 1974 all banks are fully empowered to take decisions regarding remunerationand compensation of their employees as they deem fit.
5. The case is being follow up in the Court of Law on the above saidlines. Since the matter is subjudice, it will be appropriate to wait for decision ofSupreme Court of Pakistan.
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47. Ms. Nighat Parveen Mir:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state the total number of prize bonds of variousdenominations in circulation in the country at present, separately?
Minister for Finance, Revenue and Planning and Development:The total number of prize bonds of various denominations in circulation in thecountry till 31-12-2011 was 189.32 million as per detail given below:———————————————————————————————
Prize Bonds No. of prize bonds issued——————————————————————————————
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state whether it is a fact that the cases ofmisappropriation of rupees six billions have been reported in FBRrecently; if so, the action taken, against the responsibles?
Minister for Finance, Revenue and Planning and Development:
I. Detection of loss of Revenue
As far as detection of loss of revenue amounting to Rs. 6 billion isconcerned, the required information is given below:—
A. Loss of Revenue detected at Import stage on account ofmisapplication of SRO 575 is around Rs. 2 billion (preciselyRs. 1.874 billion). FBR’s field formations are vigorously pursuingthe recovery of these amounts.
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B. Loss of revenue detected on account of fake/flying sales tax invoicesis reported as Rs. 1.9 billion. Investigative audits are underway forthe retrieval of loss and identification of culprits.
C. Loss of revenue detected on account of issuance of bogus refundsare around Rs. 1 billion. Recovery of these amounts has been assignedto respective formations.
D. Loss of revenue detected by Post Clearance Audit Department ofFBR is around Rs. 1.7 billion. Fully analyzed and segregatedinformation has been dispatched to the concerned field formationsfor immediate recovery.
E. Loss of revenue on account of issuance of dubious exemptioncertificates is around Rs. 1 billion. Recovery thereof will be made bythe respective formations.
II. Action Against FBR’s officials
News reporting is against the facts as officers identified and suspected ofinvolvement have not only been sidelined from the active field postings but factfinding inquiries have been ordered by Member-IR in a number of cases. In somecases Formal inquiries are about to be launched on the basis of fact finding inquiries.
III. Loss of revenue on account of misapplication of SRO
Once again the news item is factually off the point. It is SRO 575 and not775 as reported in the news. As stated above after detection the issue has beenreferred to Directorate General (Withholding) Direct Taxes for recovery.
49. Admissibility is being re-considered.
50. Deferred for answer on next Rota Day.
51. Mrs. Nisar Tanveer:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the Water Filtration Plant has not sofar been Installed in Union Council Bakka, District Haripur; ifso, the reasons thereof; and
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(b) the time by which the Water Filtration Plant will be installedtherein?
Minister for Finance, Revenue and Planning and Development:(a) & (b) The Clean Drinking Water For All (CDWA). Project was being executedby the then Ministry of Special Initiatives to install one filtration plant in each unioncouncil of the country. In the light of 18th amendment of the constitution, theMinistry of Special Initiatives has been devolved and the project was transferredto Planning and Development Division for winding up purpose. Resultantly, thePMU of CDWA project has also been closed since 30th June 2011.
Before winding up of the Federal PMU, the project was being executedby the Provincial Local Government. The role of Federal Government was toprovide funds and an amount of Rs. 881.241 million was transferred to Governmentof KPK up to 30-06-2011.
During implementation of the 18th amendment of the constitution, the subjectto provide clean drinking water to masses has been devolved , to provinces. Nowthe provinces have to decide its future implementation strategy.
52. Ms. Tahira Aurangzeb:
Will the Minister for National Disaster Management be pleased tostate:
(a) the total amount of funds Spent by the government for therehabilitation of the people affected by the rains and floods-2011; and
(b) the total amount of funds spent by the government for provisionof relief to the people affected by the said rain and floods?
Reply not received.
53. Mr. Mohammad Pervaiz Malik:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to refer to Un- Starred Question No.59 milled on 18thNovember, 2011 and to state whether it is a fact that the, majority ofthe beneficiaries of District Swat have applied for return of goldpledged with the National Bank of Pakistan, Swat Branch; if so, thetime by which said gold will be returned to those beneficiaries?
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Minister for Finance, Revenue and Planning and Development:The process of payment to affected borrowers against the gold pledged in DistrictSwat has been started. Out of total 409 claimants of District Swat, the NationalBank of Pakistan Matta Branch, Swat has paid Rs. 4.183 million to 21 claimantstill date. The process is expected to be completed by the end of April, 2012.
54. Ms. Qudsia Arshad:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) the names alongwith the designations of employees appointedin the National Bank of Pakistan during the period from1-1-2011 to 25-1-2012; and
(b) the procedure and criteria adopted therein?
Minister for Finance, Revenue and Planning and Development:(a) The requisite information is at Annex-I.
(b) The recruitment procedure and criteria adopted in the saidappointments is at Annex-II.
(Annexures have been placed in the National Assembly Library)
55. Mr. Muhammad Afzal Khokhar:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the posts of clerical and steno cadreshave been upgraded; if so, the reasons for not up-grading theposts off ex-cadres; and
(b) the time by which the posts of ex-cadre will be up-graded?
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Minister for Finance, Revenue and Planning and Development:(a) The posts of clerical and steno cadres have been upgraded vide FinanceDivision’s O.M. dated 29-06-2007 (Annex-I) and dated 23-12-2011(Annex-II). As regards up-gradation of the ex-cadre posts, they are consideredon the request of the concerned departments and with the concurrence ofEstablishment Division.
(b) Time span cannot be given as the posts are considered for up-gradation on case to case basis.
(Annexures have been placed in the National Assembly Library)
56. Mr. Muhammad Afzal Khokhar:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the new rate of conveyance allowancehas been determined by the government for those officerspresently working in BPS-20 and above in the Ministries/Divisions; if so, the details thereof;
(b) whether there is any proposal under consideration to grant theconveyance allowance as per said rate to the employees workingin BPS-1 to 19 in the Ministries/Divisions; and
(c) if answer to part (b) above is in the affirmative, the time bywhich it will be implemented?
Minister for Finance, Revenue and Planning and Development:(a) No new rate of conveyance allowance has been determined by the Governmentfor officers in BPS-20 and above. However, the Federal Government, CabinetDivision vide its communication No.6/7/2011-CPC dated 12-12-2011(Annex-I), on the basis of the expenditure being incurred on provision/maintenanceof the official transport, allocated to the Civil Servants in BPS-20 to BPS-22 hasdecided to allow them the monetized value of transport at the following rates:——————————————————————————————
BS-20 BS-21 BS-22——————————————————————————————
Rs.65,960/- Rs.77,430/- Rs.95,910/-P.M P.M P.M
——————————————————————————————
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(b) No such proposal is under consideration to grant the conveyanceallowance (monetized value of transport) to the employees working in BPS 1-19in the Ministries/Divisions. However, Government has increased the rates ofconveyance allowance for civil employees working in BPS 1-16 w.e.f.01-07-2011 as under : (Annex-II).——————————————————————————————
The proposal for enhancement rate of conveyance allowance for employeesin BPS 1-19 will be considered in the next budget, subject to availability ofbudgetary resources.
(c) Government will consider the proposal for enhancement of rates ofconveyance allowance for employees in BPS 1-19 in the next budget, subject toavailability of budgetary resources.
(Annexures have been placed in the National Assembly Library)
57. Deferred for answer on next Rota Day.
58. Deferred for answer on next Rota Day.
59. Mian Javed Latif:
Will the Minister for Interior be pleased to state:
(a) the date on which an announcement was made by the Ministerto regularize services of contractual employees presentlyworking in NADRA;
(b) the procedure being adopted to regularize the services of theemployees of NADRA; and
(c) the number of employees whose services have been regularizedso far?
Reply not received.
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60. Rana Mahmood -ul- Hassan:
Will the Minister for Finance, Revenue and Planning and Developmentbe pleased to state:
(a) whether it is a fact that the posts of Junior Auditor and LowerDivision Clerk of AGPR, CDA and NHA have been upgradedfrom BPS-7 to BPS-11 since long;
(b) whether there is any proposal under consideration to upgradethe posts of LDC from BPS-7 to BPS-11 and UDC from BPS-9to BPS-14 of the other Federal Government departments; if so,when it will be upgraded?
Minister for Finance, Revenue and Planning and Development:(a) Yes. The post of Junior Auditor in AGPR has been upgraded from BS-07 toBS-11 vide Finance Division’s O.M. dated 24-8-2011 (Annex-I) whereas postof LDC from BS-05 to BS-07 have been upgraded vide Finance Division’s O.M.dated 29- 06-2007 (Annex-II).
As regards CDA, posts of Junior Auditors and Lower DivisionClerks have also been upgraded from BS-07 to BS-11 from 03-04-2010 and01-07-2010 respectively. Regarding NHA, that there is no post of Junior Auditorin NHA, rather there are posts of Junior Accounts Clerk which have been upgradedfrom BS-07 to BS-11 with effect from 03-1-2011. However the post of LDC hasnot so far been upgraded by NHA and the same post is still in BS-07.
(b) No. There is no proposal under consideration to upgrade the postsof LDC from BPS-7 to BPS-11 and UDC from BPS-9 to BPS-14 of the otherFederal Government departments for the time being.
(Annexures have been placed in the National Assembly Library)
