FY 2026-27: Federal govt to present budget on June 10

ISLAMABAD: The federal government has decided to present the budget for the upcoming fiscal year on June 10 instead of June 5, citing the need for further consultations with coalition partners.

Minister for Parliamentary Affairs Tariq Fazal Chaudhry said the revised date would provide additional time to build consensus among allied parties on budgetary matters.

“Coalition governments face two major challenges which include preparing the budget and securing the support of coalition partners,” he said, explaining the reason behind the delay.

Chaudhry clarified that the postponement has no connection with the upcoming elections in Gilgit-Baltistan, dismissing speculation linking the two developments.

The announcement came as a meeting of the National Economic Council (NEC), scheduled for Wednesday under the chairmanship of Prime Minister Shehbaz Sharif, was postponed, according to sources.

The NEC meeting was expected to review and approve federal and provincial development programmes for the next fiscal year and finalise key spending priorities ahead of the budget announcement.

Sources said the council was set to consider a combined federal and provincial development outlay of Rs4.715 trillion for fiscal year 2026-27. The federal Public Sector Development Programme (PSDP) was also expected to be increased by Rs200 billion, raising the proposed allocation from Rs1.126 trillion to approximately Rs1.326 trillion.

The meeting was expected to be attended by the chief ministers of all four provinces, provincial finance ministers and the prime minister of Azad Jammu and Kashmir.

No official reason has been given for the postponement of the NEC meeting, and a new date has yet to be announced. The delay comes as the government continues consultations on the budget and development spending plans for the upcoming fiscal year.

Commenting on the political situation in Pakistan Tehreek-e-Insaf, Chaudhry claimed that differences between the groups led by Ali Amin Gandapur and Sohail Afridi have intensified.

He said PTI leaders should focus on resolving their internal disputes before turning their attention to issues such as Gilgit-Baltistan.

Chaudhry further claimed that if the federal government chose to intervene, the provincial government led by Sohail Afridi could be brought down within two days.

The minister also described the Pakistan Peoples Party as a reliable coalition partner, saying the party continues to maintain a positive working relationship with the federal government.

The federal budget is now scheduled to be presented on June 10 following consultations and coordination with coalition allies.