KP budget 2025-26 to be presented on THIS date!

The outgoing fiscal year 2024–25 had a total budget of Rs1,654 billion.

By DTD- On Jun 12, 2025

PESHAWAR: The Khyber Pakhtunkhwa (KP) government will present its budget for the fiscal year 2025–26 on Friday – June 13 – with an expected outlay of over Rs2.18 trillion.

Provincial Law Minister Aftab Alam has once again been assigned the additional charge of the finance portfolio and will present the budget in the KP Assembly.

According to officials in the Finance Department, the upcoming budget reflects the province’s evolving fiscal requirements and includes key allocations for salaries, pensions, and development schemes.

The total expenditure for the year has been estimated at Rs1,962 billion, leaving the province with a projected surplus of Rs157 billion. A salary increase of 10 per cent for government employees and a 7 per cent raise in pensions have been proposed.

Rs680 billion is expected to be allocated for salaries and Rs200 billion for pensions, of which Rs189.6 billion will go to the settled districts and Rs4.4 billion to the tribal areas.

The Annual Development Programme (ADP) is set at Rs547 billion, with Rs195 billion earmarked for settled districts — reflecting a 21 per cent rise from the previous year. For the tribal districts, Rs294 billion is proposed to cover both current expenditures and development work.

The provincial government also plans to reduce its debt servicing allocation, cutting it from Rs67 billion in the outgoing year to Rs55 billion in the next fiscal.

Major infrastructure projects expected to receive funding include the Dera-Peshawar Motorway, Peshawar Valley Housing Scheme Expressway, Dera Uplift programme, and the long-delayed Peshawar Ring Road project.

KP anticipates receiving Rs1,342 billion from the federal government under the National Finance Commission (NFC) award, Rs108 billion from net hydel profits, Rs55 billion from oil and gas royalties, and Rs138 billion as part of the war-on-terror compensation.

The outgoing fiscal year 2024–25 had a total budget of Rs1,654 billion. The upcoming budget marks an increase of Rs416 billion, highlighting the province’s growing development and administrative needs. The new fiscal plan will take effect from July 1, following approval by the assembly.

Balochistan budget 2025-26 to be presented on June 16

Meanwhile, the Balochistan government is set to unveil its budget for the fiscal year 2025–26 on Monday, June 16.

According to sources in the Finance Department, the provincial cabinet will meet at 3:00pm, followed by the budget session at 4:00pm where the provincial finance minister will present the new fiscal plan in the Balochistan Assembly.

Chief Minister Mir Sarfaraz Bugti has said that the upcoming budget will focus on youth development and employment generation. “This year’s budget will initiate new programmes for the youth under public-private partnership models,” he said, adding that creating job opportunities would remain a top government priority.

The budget is expected to be a surplus one, continuing the trend from the outgoing fiscal year 2024–25, which also closed with a surplus. According to officials, 92 per cent of last year’s budget allocations have already been utilised, indicating improved financial management in the province.