Talking to newsmen here at the Prime Minister House, he said, "Utility Stores outlets have started sale of pulses at reduced rates and the people have started getting benefit from the measures of the government to reduce prices."
He said that the people in general had welcomed the budget, particularly the efforts to stabilise prices, 15 percent increase for government employees, and new scheme for jobs employment.
The Prime Minister said the budget had provided relief to all segments of the society, although due to some adjustment in the taxes, particularly on the withdrawal of cash over Rs 25,000, some members of the business community were not happy.
Commenting on initial response of the people on the federal budget, the Prime Minister said, "There has been no increase in the prices of any commodity following the announcement of the budget while on the other hand the prices of pulses have been reduced."
He said that daal chana was being sold at the rate of Rs 30 per kg, daal masoor at Rs 31 per kg, daal moong Rs 53 per kg and daal mash Rs 58 per kg were provided to the consumers from the Utility Stores as announced in the budget on Monday. He said there was adequate stock and supply of the pulses being sold at all the Utility Stores, and added that after import of these pulses, their prices in the open market would also be reduced. The Prime Minister said Utility Stores would be opened at each Tehsil while there would be mobile Utility Stores to provide these essential commodities to the people even in remote areas. He said the 'Rozgar Pakistan' scheme would also be helpful to open new franchised Utility Stores.
The Prime Minister, explaining the concept of 'Price Magistrates' to check the prices of basic commodities, said that the magistrates would be responsible to stabilise the prices in their jurisdiction.
He said that although the Local Government System was in place and they have their own mechanism to check the prices, but the Price Magistrates would further improve the situation regarding prices of essential commodities. The Prime Minister said the government would ensure constant and adequate supply of pulses at the Utility Stores and in the open market after their import.
Referring to the import of 1.2 million tons sugar recently, the Prime Minister said that sugar prices were stabilised at the Utility Stores and in the open market with its constant supply.
The Prime Minister said the measures taken by the government in the budget to provide essential commodities at reasonable prices were for "price capping", and added that the government would take such measures for other commodities also.
He said that the government had allocated a record amount for development projects, and Rs 50 billion has been allocated for reconstruction work in quake-hit areas of NWFP and AJK.
Replying to a question about increase in petroleum prices and considering it a mini-budget, Shaukat explained that if there would be new taxes after the budget, then it could be called 'mini-budget'. He said that changes in petroleum prices due to changes in the international market were not 'mini budget'. On the proposal to increase tax on cash withdrawal of more than Rs 25,000 from bank, he said, "It is adjustable tax."
He said that the government had made minor adjustment in taxes, and there was no new withholding tax. The Prime Minister said people are conscious and they know that they have been given incentives in the federal budget; therefore, generally everyone has appreciated and welcomed the budget.
He said the government was able to transfer the benefits of sustainable economic growth by taking various measures, including stabilising prices of pulses, increase in salaries of government employees, enhancing pension, giving exemption to women in taxes and incentives for the import of construction machinery.
About the World Bank loan of $6.5 billion, he said it would be under the limits of Fiscal Responsibility Law passed by the parliament. He said the government would not borrow beyond the limits of the Fiscal Responsibility Law.