ISLAMABAD: The National Assembly has officially approved the federal budget for the upcoming fiscal year, with a total expenditure of 18,771 billion rupees. The budget emphasizes boosting economic growth and providing targeted tax relief measures.
The approval came through the passage of the Finance Bill, 2026, which includes several amendments reflecting the government’s financial proposals for the year starting July 1, 2026. The motion to adopt the budget was introduced by Finance Minister Muhammad Aurangzeb.
For the next fiscal year, the government projects a Gross Domestic Product (GDP) growth rate of 4% and an inflation rate of 8.2%. Revenue collection by the Federal Board of Revenue (FBR) is estimated at 15,264 billion rupees, with non-tax revenues targeted at 5,336 billion rupees.
A significant portion of the budget, 1,000 billion rupees, has been allocated for the Federal Public Sector Development Program (PSDP), with a focus on key sectors such as transport, communication, water resources, and energy—comprising over 60% of the PSDP. The remaining funds are designated for sectors including higher education, agriculture, health, and information technology.
The budget also includes measures aimed at providing relief to the salaried class, as well as support for the agriculture, construction, and export industries.
The session was adjourned and will reconvene tomorrow at 11:00 am to continue discussions.
