THE finance bill or proposed budget for the next fiscal year has refused to commit any resources or even set the national direction for climate resilience. It has failed to acknowledge that Pakistan is one of the world’s most climate-vulnerable countries, and perhaps the least prepared. It has missed, once again, the opportunity to determine the course of action for Pakistan’s sustainable economic development. Worse, the proposed budget has not outlined a vision for climate-resilient investments.

The finance bill has not shown any particular appetite for institutional or policy reforms that could help stop the economic bleeding caused by repeated climate-induced disasters or the slow onset that is threatening GDP growth rate and per capita incomes. Ironically, despite heavy losses, Pakistan has not explicitly adopted climate considerations into the budgetary process.

The government has, instead, opted for a simplistic formula for generating tax and non-tax revenues, particularly by cutting subsidies. Economic development is a secondary target, and climate-resilient development is not even on the horizon. As seen in several other countries, the government can ensure that public finance is aligned with climate change mitigation and adaptation goals.

The Planning Commission has still not embedded adaptation and mitigation in PC-1s that are the backbone of annual public sector investments. The finance ministry has not initiated the tracking of climate expenditures, despite attempts over the years by several development partners. The office of the Accountant General Pakistan Revenues has not climate-proofed reporting of federal transactions, nor has the Auditor General upgraded its auditing standards and disclosure rules. The FBR is not tracking and reporting........

© Dawn