Punjab to unveil Rs5.13tr budget for FY2026-27 today

The Punjab government is set to present its budget for the fiscal year 2026-27 today, with total proposed expenditures exceeding Rs5.13 trillion. The budget will be tabled in the Punjab Assembly after Governor Punjab summoned a session of the provincial legislature for the purpose.

According to budget estimates, Punjab is expected to receive Rs3.79 trillion from the federal divisible pool under the National Finance Commission (NFC) award, while provincial revenues are projected to generate around Rs1.33 trillion during the next fiscal year.

However, officials familiar with the budget proposals said the province’s development programme is likely to be significantly reduced following a fiscal concession extended to the federal government. Punjab has reportedly provided a fiscal space of Rs570 billion to support the centre’s financial requirements, prompting authorities to propose cutting the annual development budget from Rs1.45 trillion to Rs752 billion.

Assembly session at 2pm

The budget session has been scheduled for 2pm, and authorities have already issued the agenda for the sitting. Members of the provincial assembly will receive budget documents and supporting material in digital format as part of efforts to modernise legislative proceedings.

Major allocations for salaries, pensions and health

A substantial portion of the budget is expected to be allocated towards salaries and pensions of government employees. The provincial government has proposed earmarking Rs650 billion for salaries and Rs505.8 billion for pension payments.

The health sector is likely to receive Rs680 billion, reflecting the government’s focus on healthcare services. Budget proposals also include Rs100 billion for the provision of free medicines across public health facilities.

In addition, special funds are expected to be reserved for the treatment and medication of cancer and stroke patients as part of efforts to improve access to specialised healthcare services.

Education, scholarships and welfare programmes

The education sector is expected to receive more than Rs900 billion under the new budget. Proposed initiatives include schemes to provide laptops, electric scooters and bicycles to students aimed at supporting education and improving mobility.

The government is also considering allocating Rs20 billion for the Honhaar Scholarship Programme, which seeks to provide financial assistance to talented students pursuing higher education.

Meanwhile, several welfare and public service initiatives are also expected to receive significant funding. The Suthra Punjab Programme has been proposed an allocation of Rs150 billion, while Rs25 billion may be set aside for social protection programmes.

The budget also includes a proposed allocation of Rs35 billion for a Ramazan relief package and more than Rs80 billion for various subsidy schemes designed to support consumers and vulnerable segments of society.