AJK unveils Rs252.17 billion budget with focus on welfare, tourism and sports

MUZAFFARABAD: Azad Jammu and Kashmir (AJK) Finance Minister Qasim Majeed on Monday presented a Rs252.17 billion budget for the fiscal year 2026-27, proposing a 7 percent hike in the salaries and pensions of government employees.

The regional government also made ample allocations for social welfare, women’s development, sports, tourism, and transport.

Presenting the budget in the AJK Legislative Assembly, the finance minister said that the regional government would implement the same increase in salaries and pensions announced by the federal government, despite financial constraints, to improve the economic conditions of public sector employees.

The proposed budget significantly increases funding for the social welfare department, with an allocation of Rs110 million for the 2026-27 fiscal year compared with Rs21.5 million in 2025-26.

Under this allocation, the government has proposed the construction of a hostel building at the National Special Education Centre in Muzaffarabad, a new social welfare directorate building, and the establishment of special education centres in Bagh and Neelum districts. Child protection units are also planned in Mirpur and Kotli.

For the women development department, the government has proposed Rs110 million, up from Rs58.3 million in the outgoing fiscal year.

The minister said that women would continue to receive vocational training in modern trades along with legal, medical, and residential support. “Around 200 women benefit annually from government-run shelter homes,” he said. The budget has also proposed establishing gender forums aimed at addressing the rising incidence of violence against women.

In the sports, youth, and culture sector, the government has proposed allocating Rs350 million for 2026-27, compared with Rs228.8 million in the previous fiscal year.

The minister noted that development work had largely been completed under the first phase of projects to improve sports facilities at educational institutions and community grounds, adding that additional facilities at the Muzaffarabad and Dadyal stadiums have also been completed.

The budget has proposed the construction of the first sports stadium in Haveli district, new stadiums in Hattian Bala, Dhamas, and Potha Bainsi, the upgradation of the Rawalakot Sports Complex, the installation of a synthetic hockey turf in Doodyal, and the establishment of mini sports grounds across AJK.

The government has also proposed a sharp increase in tourism spending, allocating Rs300 million for the sector compared with Rs29 million in 2025-26.

The proposed initiatives include the restoration of the historic Muzaffarabad Fort, the beautification of tourist destinations, repairs to central tourist rest houses, strengthening the tourism department, and launching four new green and sustainable tourism projects.

Furthermore, the AJK government announced plans to prepare master plans for tourist destinations, conduct studies of existing tourism assets, undertake feasibility studies for water bodies at Nala Mahl in Bagh and Nala Kain in Rawalakot, and preserve archaeological heritage sites.

For the transport sector, the budget proposed Rs150 million, including the introduction of a computerised fitness certification system for public transport vehicles.

Meanwhile, the wildlife and fisheries department has been allocated Rs20 million for projects aimed at biodiversity conservation and fish breeding.

The finance minister concluded that the proposed spending reflected the government’s commitment to improving public services, promoting tourism, supporting vulnerable communities, and expanding infrastructure despite ongoing fiscal challenges.