Investor Presentaiton
Chapter VI - Debt, Pension and GPF Liabilities
66
As of 30.06.2020 the total amount of outstanding Guarantees is estimated at PKR 77 billion out
of which PKR 4.7 billion is attributable to Public Private Partnerships (PPP) of the Government.
"
In future Government would like to further increase its fiscal risk management and disclosure by estimating disaster risk financing requirements
and disclosing that as part of it drive to make PFM more and more transparent.
Pension
Service Delivery
Government has a Defined-Benefit (DB) Pension Scheme for its permanent
employees. The pension scheme is being managed on 'pay-as-you-go' basis,
i.e. pension payment during a year is made out of that year's revenues
regardless of the time of accrual of the liability. Considering the rising burden
of pension expenditure, Government has, over the last few years, been
following a more systematic approach towards valuation, reporting and funding
of pension liability.
Pension Expenditure
Pension is the third largest expenditure of Government of Punjab's Current
Revenue Expenditure after salary. The growth rate of expenditure on pension
is a matter of concern. The trend of Punjab's pension expenditure since FY10-
11 is as under:
Salary
2
1
Pension
3
Year
Pension
Expenditure
Current
Expenditure
Pension as % of. Current
Expenditure
General Revenue
Receipts
(PKR In Billion)
Pension % of
Revenue Receipts
FY10-11
36.40
370.00
9.84
539.00
6.75
FY11-12
50.10
444.00
11.28
606.00
8.27
FY12-13
67.40
534.00
12.62
703.00
9.59
FY13-14
76.40
569.00
13.43
815.00
9.37
FY14-15
88.80
670.00
13.25
902.00
9.84
FY15-16
113.70
730.00
15.58
1,108.00
10.26
FY16-17
141.00
900.00
15.67
1,405.00
10.04
FY17-18
172.90
961.00
17.99
1,387.00
12.47
FY18-19
205.10
1,225.00
16.74
1,466.00
13.99
CAGR
24.12%
16.14%
13.32%
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