LAHORE: The Punjab government unveiled a Rs. 5.9 trillion budget for FY2026-27, with Rs. 752 billion allocated for development projects, focusing on health, education, social welfare, and economic growth.
Presenting the budget in the Provincial Assembly, Finance Minister Mujtaba Shuja-ur-Rehman announced a 7% salary increase for government employees and a 3.5% rise in pensions. He said the budget reflects fiscal discipline and efficient resource management despite economic challenges.
The education sector has been allocated Rs. 750 billion, while health will receive Rs. 500 billion. Major initiatives include the distribution of 110,000 laptops, expansion of scholarship programs, and continued work on the Nawaz Sharif Institute of Cancer Treatment and Research. Punjab Government also set aside Rs. 803 billion for local governments under Punjab Finance Commission Award.
The government also plans to launch the Nawaz Sharif Medical District and establish garment factory parks focusing on boosting exports, creating around 20,000 jobs, and attracting new investment.
Punjab expects to receive Rs. 4.4 trillion under the NFC Award from Federation and has set an own-source revenue target of Rs. 1.21 trillion to support development priorities and strengthen financial sustainability.
On the Revenue Side, Punjab Revenue Authority has been tasked to generate revenues amounting Rs. 528 billion, while Board of Revenue has been tasked with to collect Rs. 86 billon. Punjab Excise & Taxation Department is expected to generate nearly Rs. 120 billion revenue.
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