... the government establishes its economic and social priorities and sets the direction of the economy. It reflects the fundamental values underlying the government's economic policies and objectives. This report is assigned to me by Mr. Mohammad Ali Wallana, the course instructor of Macro-Economics. This report is benificial in the sense that it will help in understanding the fiscal problems of our country and will help us in finding the ways to disolve those problems. I have put my best efforts to make this report. In this report I have discussed the economic conditions for the fiscal year 2003-04, the targets, the acheivements. The Challenges that Fedral Budget 2004-05 will have to meet, its major features have been discussed briefly. I have also included the comparaison between previous and current fiscal year's budget. I hope that this report will enhance the knowledge of the common reader as well ...

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