The Pakistan Muslim League-Nawaz’s (PML-N) lack of fiscal discipline continues in the final stages of its tenure. According to reports, the federal government wants to unveil the 2018-19 budget on April 27, which includes plans to borrow a record breaking $13 billion. This is 63 percent higher than the outgoing fiscal year’s original estimates. It is all too convenient, as the incumbent government will not have to deal with the ramifications of such borrowing, given that the general elections will take place anytime between June and September. The federal government had not exhibited responsible fiscal behaviour during the first four years of its term. While PML-N Quaid Nawaz Sharif was still Prime Minister, his government obtained$35 billion in loans. Some reports suggest that this figure may actually be as high as $40 billion. The real tragedy is that $17 billion — nearly half the total loans obtained from July 2013 to July 2017 — were used for debt servicing. Assessing the incumbent government’s decisions — it is quite safe to say that it has learnt nothing from the fiscal mistakes it has made over the past five years. Because there is no doubt that if this country borrows another $13 billion dollars, it will soon need another loan to service this debt. Meanwhile, efforts to widen the income tax net so that we do not remain so reliant on foreign loans have been half-hearted at best. The recently introduced Tax Amnesty scheme seems more like an effort to bribe tax evaders into bringing their money into the country rather than an effort to widen the tax base in a sustainable manner. Furthermore, such a scheme has been announced at this point in time also makes it seem more like a pre-election stunt than a genuine effort. All of this means more loans and continuing reliance on indirect taxes like GST. The impoverished Pakistanis will bear the brunt of these decisions. Let us hope that whichever party forms the federal government following the general elections will improve the fiscal discipline and manage our debt better. * Published in Daily Times, April 16th 2018.