Rs 25 billion have been allocated for increase in salaries and pensions.
According to the budget proposals all public employees up to the grade 16 will have an increase of 15 percent in their salaries. A special increase in the salaries of armed forces personnel will also be made. Taxable income for the salaried people has been increased from Rs 3 lac to Rs 3.5 lac. Amount allocated for subsidies for various products will be Rs 166.4 billion.According to the budget proposals, minimum increase of Rs 1,375 has been recommended for government employees salaries. The government employees salaries will be increased by Rs 1,820 for grade two Rs 1,880 for grade three Rs 1,940 for grade four Rs 2,000 for grade five Rs 2,060 for grade six Rs 2,120 for grade seven Rs 2,195 for grade eight Rs 2,290 for grade nine Rs 2,465 for grade eleven Rs 2,480 for grade twelve Rs 2,785 for grade thirteen Rs 2,950 for grade fourteen Rs 3,130 for grade fifteen Rs 3,635 for grade sixteen Rs 5,910 for grade seventeen Rs 7,745 for grade eighteen Rs 11,810 for grade nineteen Rs 11,590 for grade twenty Rs 15,530 for grade twenty one Rs 27,680 for grade twenty two