Charter of the Economy The above proposals have led to the identification and quantification of the additional resource mobilization and cuts in expenditure. These combined provide the‘fiscal space’ for implementation of the strategy for enhancing the Human Security Index of Pakistan in line with the priorities identified in Chapter 12. 14.4 Summary of Targets The salient features of the Financial Plan are described below in Chart 14.5. Chart 14.5: Salient Features of the Financing Plan for the Charter of the Economy (% of GDP) Impact of Implementation of Financing Plan A. ADDITIONAL‘FISCAL SPACE’ Higher Tax Revenues 3.00 Federal 2.00 Provincial 1.00 Higher Non-Tax Revenues 0.75 Federal 0.50 Provincial 0.25 Expenditure Cut-1.50 Federal-1.25 Provincial-0.25 Total‘Fiscal Space 5.25 Federal 3.75 Provincial 1.50 B. UTILIZATION OF THE‘FISCAL SPACE Impact of Implementation of Financing Plan % Increase from Present Level (% of GDP) Expenditure Increase in Pro-Poor Spending 1.50 150* Development Spending (excluding social services) Spending on Social Sectors 1.00 85 0.75 34 Reduction in Budget Deficit 2.00-30 *The present level of Pro-Poor Spending is given in Box 14.2. 117