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Annual Plan 2014-2015

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Annual Plan 2014-2015 Annual Plan 2014-15 CONTENTS Pages Foreword i Executive Summary iii Part-I Growth Framework 1 Growth, Investment and Savings 3-17 2 Balance of Payments 19-29 3 Fiscal and Monetary Developments 31-49 4 Public Sector Development Programme 51-61 Part-II Enhancing Productivity 5 Higher Education 65-68 6 Science and Technology 69-79 7 Employment and Skill Development 81-90 Part-III Commodity Producing 8 Agriculture and Food Security 93-103 9 Industry and Commerce 105-116 Part-IV Physical Infrastructure and Environment 10 Energy Security & Affordability 119-130 11 Water Resources Development 131-141 12 Urban Development 143-147 13 Environment 149-154 Part-V Poverty Reduction and Human Resource Development 14 Poverty Reduction and Millennium Development Goals 157-175 15 Youth Empowerment 177-181 16 School and College Education 183-188 17 Health, Nutrition and Population 189-206 18 Social Welfare and Women Development 207-212 19 Area Development 213-219 Part-VI Connectivity 20 Transport and Logistics 223-232 21 Information & Communication Technologies 233-240 22 Mass Media, Culture and National Heritage 241-245 Part-VII Better Governance 23 Better Governance 249-261 Abbreviations and Acronyms ADP Annual Development Programme AEDB Alternative Energy Development Board BPD Barrels Per Day CAMB Centre for Applied Molecular Biology CCI Council of Common Interests CGT Capital Gains Tax CSF Coalition Support Fund CWHR Council for Works and Housing Research ECO Economic Cooperation Organization ELTR English Language Teaching Reforms ERRA Earthquake Reconstruction and Rehabilitation Authority FDI Foreign Direct Investment FEG Framework for Economic Growth FRDL Fiscal Responsibility and Debt Limitation GDP Gross Domestic Product GNP Gross National Product HEC Higher Education Commission HIES Household Intergraded Household Survey ICT Information and Communication Technology IMF International Monetary Fund NAVTTC National Vocational and Technical Training Commission NDA Net Domestic Assets NEC National Economic Council NIE National Institute of Electronics PAEC Pakistan Atomic Energy Commission PARC Pakistan Agriculture Research Council PCRET Pakistan Council for Renewable Energy Technologies PCRWR Pakistan Council of Research in Water Resources PCSIR Pakistan Council for Scientific and Industrial Research PDL Petroleum Development Levy PNAC Pakistan National Accreditation Council PRI Pakistan Remittance Initiative PSDP Public Sector Development Programme PSEs Public Sector Enterprises PSF Pakistan Science Foundation PSLM Pakistan Social and Living Standard Measurement Survey PSQCA Pakistan Standards and Quality Control Authority SAFTA South Asian Free Trade Agreement SECP Securities and Exchange Commission of Pakistan SMEs Small and Medium Enterprises STFP Strategic Trade Policy Framework TDS Tariff Differential Subsidy WTO World Trade Organization List of Tables Table # Title Page # 1.1 Area and Production of Important Crops 7 1.2 Area and Production of Minor Crops 8 1.3 Distribution of Private Investment (% share) 11 2.1 Components of Current Account Balance 21 2.2 Balance of Payments 22 2.3 Exports in Quantum Terms (July-March) 23 2.4 Imports in Quantum Terms (July-April) 24 3.1 Summarized Position of Consolidated Fiscal Operations 32 3.2 FBR Tax Collection 35 3.3 Monetary Aggregates 38 3.4 Changes in Price Indices 40 3.5 KSE-100 Index and Market Capitalization 41 4.1 National Development Outlay 2013-14 51 4.2 Broad Sector-wise Revised Allocations - Federal PSDP 2013-14 52 4.3 National Development Outlay 2014-15 53 4.4 Broad Sector-wise Allocations - Federal PSDP 2014-15 56 7.1 Population and Labourforce Participation Rate 82 7.2 Labor Force Participation Rates (%) 83 7.3 Employment Status-Distribution Of Employed By Sex (%) 83 8.1 Growth Rate of Agriculture Sector (%) 95 8.2 Crop Production Target and Achievement 96 8.3 Fertilizer Off-take, Target and Achievement 97 8.4(a) Cotton Seed Distribution 98 8.4(b) Improved Seed Distribution 98 8.5 Physical Performance and Targets of Livestock, Poultry and 102 Fisheries Table # Title Page # 9.1 Sector-wise Allocation in PSDP 2013-14 and 2014-15 109 9.2 Wholesale and Retail Trade 111 9.3 PSDP Utilization 2013-14 113 10.1 Existing Installed Capacity 121 10.2 Karachi Electric Supply Corporation (KESC) 124 10.3 Power Sector Projects 2013-14 124 10.4 Power Sector Projects 2014-15 125 11.1 Key Physical Targets & Achievement for 2013-14 and Targets for 136 2014-15 13.1 Environmental Indicators and Progress 153 14.1 Poverty Indices by Region 159 14.2 Zakat Distribution (2013-14) 161 14.3 Achievements of EOBI during Jul-Mar, 2013-14 and Plan for 162 2014-15 14.4 Disbursement during 2013-14 163 14.5 Number of Individual Trained during 2013-14 and target for 164 2014-15 14.6 Number of Microcredit Beneficiaries and Disbursements 165 16.1 Educational Benchmark and Targets 2025 (percent) 183 16.2 Key Challenges and Strategies 184 16.3 Progress in Educational Targets at National Level 185 16.4 Progress in Educational Targets at National and Provincial Level 186 16.5 Federal PSDP 2013-14 186 16.6 Federal PSDP 2014-15 188 17.1 Physical Targets /Achievement 2013-14 and 2014-15 195 17.2 Food Availability (kg per Capita per annum) 196 17.3 Project-wise Details 201 17.4 Selected Demographic Indicators 202 Table # Title Page # 17.5 Physical Targets and Achievements 2013-14 and Targets 2014-15 202 18.1 Social Welfare & Women Dev. Projects: Allocation and 212 Expenditure during 2013-14 18.2 Proposed Projects and Allocation of Funds for Human Rights 212 19.1 Agency/Division wise Allocations & Utilization for 2013-14 215 19.2 Physical Progress for 2013-14 216 19.3 Agency wise Allocations for 2014-15 217 19.4 Physical Target for 2014-15 218 21.1 Number of Fixed+WLL Telecom Connections 239 (As of Jun. 2013 and Mar. 2014) 21.2 Number of MobileTelecom Connections 239 (As of Jun. 2013 and Mar. 2014) 22.1 Review of 2013-14 and Programme for 2014-15 243 22.2 Electronic Media Profile (2014) 243 23.1 Progress of Monitoring during 2013-14 255 List of Figures Figure # Title Page # 1.1 Real GDP Growth for 2014 (Comparative Picture) 4 1.2 Composition of Agriculture Sector 6 1.3 Savings and Investment (% of GDP) 11 2.1 Flow of Worker Remittances 25 2.2 Annualized Imports & Exports 26 3.1 Trends in Fiscal Indicators 32 3.2 Trends in Quarterly Fiscal Deficit 34 3.3 Monthly Foreign Portfolio Investment Net Inflows/Outflows 41 Trends 3.4 Financing of Fiscal Deficit: Share (%) in Total Public Debt 45 3.5 Financing of Fiscal Deficit: Share (%) in Domestic Debt 45 7.1 Comparison of Population & Labour Force 81 7.2 Labour Force Participation Rate 82 11.1 A Glance at Previous Years’ Allocation and Utilization in 135 Water Sector 11.2 Percentage Distribution of Water Sector PSDP 2014-15 137 11.3 Major On-going Water Sector Projects’ Locations 141 14.1 Poverty indices by region 158 14.2 Annual Cash Grants 159 14.3 Number of Beneficiaries 160 14.4 Pro-Poor Expenditures (Rs. billion) 168 17.1 Cost of Food Basket 196 19.1 Agency/Ministry wise Allocation 2014-15 218 21.1 Networked Readiness Index Ranking 233 21.2 Quality of Education System 234 21.3 Government Online Service Index 235 21.4 Broadband Internet Subscribers 239 22.1 New Media 244 List of Boxes Box # Title Page # 1.1 Value Addition to Boost Dates Exports 13 1.2 Housing, Construction & Economic Growth 14 1.3 Role of Investment Promotion Intermediaries for attracting FDI 15 2.1 Potential Drivers of Growth Involving the External Sector 20 2.2 Key steps for maximum use of GSP Plus facility 20 3.1 Main Features of FBR Tax Strategy 36 3.2 Monetary Policy Reforms 39 3.3 Salient Features of Medium Term Debt Management Strategy 46 9.1 Escape from “Middle Income Trap & Dev. Stages” 106 11.1 Indus Basin System 131 11.2 Investment Areas 131 11.3 Tools 131 12.1 Urban Challenge Fund 146 13.1 Glacier Behavior under Climate 152 14.1 Poverty Reduction Strategy of the Plan 157 14.2 PBM: Plan/Programs for 2014-15 162 14.3 PPAF: Plan/Programs for 2014-15 165 14.4 SMEDA’s 5 - Year SME Development Plan (2013-18) 166 17.1 Vision 2025 and 11th Five Year Plan 189 17.2 Policy and Strategy of Vision 2025 195 18.1 Social Welfare Strategic Approach for Vision 2025 208 18.2 Women Development Strategic Approach to Vision 2025 210 Box # Title Page # 20.1 Restructuring Plan of Pakistan International Airlines 226 20.2 China Pak Economic Corridor 230 21.1 Focus of National ICT Strategy 233 21.2 Strategy for High Value Human Capital 234 21.3 Strategy for Development of IT Industry 235 21.4 Strategy for E-Government Sustainability 236 22.1 Vision 2025(a) 242 22.2 Vision 2025(b) 242 23.1 Strategies to be Adopted during 2014-15 260 List of Annexures Annex # Title Page # 1.1 Gross Domestic Product (2005-06 Prices) 16 1.2 Macroeconomic Framework (Current Market Prices) 17 2.1 Balance of Payments 28 2.2 Structure of Imports and Exports 29 3.1 Consolidated Fiscal Operations 49 National Development Programme 2013-14 & 2014-15 4.1 60 (Ministry/Division-wise Summary) 14.1 Millennium Development Goals 173 20.1 Transport & Communications 232 Foreword Foreword This document has the unique distinction of being the first Annual Plan after approval of Pakistan Vision 2025 and Framework for 11th Five Year Plan (2013-18). The Vision 2025 provides country’s long–term development agenda based on seven pillars, namely, developing human and social capital, achieving sustained, indigenous and inclusive growth, governance, institutional reform & modernization of the public sector, energy, water & food security, private sector led growth and entrepreneurship, developing a competitive knowledge economy through value addition, and modernization of transportation infrastructure & greater regional connectivity.
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