Punjab Finance Minister Mujtaba Shuja-ur-Rehman To Present Pakistan’s Largest Provincial Budget, Backed By Rs4.5 Trillion In NFC Award Transfers, With Salary Increases And Welfare Subsidies Matching The Federal Government’s Lead
According to The Nation, citing sources in the provincial finance ministry, the Punjab government has finalised budget proposals for fiscal year 2026-27 and is expected to present the provincial budget in the second week of June. Punjab Finance Minister Mujtaba Shuja-ur-Rehman is set to table the budget before the provincial assembly.
The overall budget volume is expected to reach Rs6,000 billion; approximately $21.5 billion, making it Pakistan’s largest-ever provincial spending plan.
Around Rs1.6 trillion has been proposed for the Annual Development Programme, prioritising education, health, roads, sanitation, agriculture, and law and order. The province is expected to receive over Rs4.5 trillion under the National Finance Commission Award, forming the backbone of the budget’s revenue base.
The government has pledged no new taxes. However, proposals to broaden the existing tax net and revise rates in the services sector remain under active consideration. Government employees and pensioners are likely to receive salary increases in line with the raise already announced by the federal government. Welfare subsidies for farmers, students, and labourers are expected to continue in the new fiscal plan.
To check out our previous coverage on Pakistan’s economy, provincial budgets, and public finance, read our articles here.
