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Budget 2025: Government approves Rs5 billion package for Azad Kashmir

MM News Staff by MM News Staff
June 11, 2025
Budget 2025

(Image: Dialogue Pakistan)

As part of the Budget 2025, the federal government has approved a Rs5 billion special development package for Azad Kashmir. The initiative, announced under the Prime Minister’s special package, prioritizes support for communities affected by the Line of Control (LoC), the establishment of Danish schools, and the advancement of electricity projects in the region.

The federal development package includes Danish schools, rehabilitation of LoC affectees, and power projects. Under the special package, mega projects in education, energy, and infrastructure have been proposed for Azad Kashmir.

The federal government has proposed approval of a mega development package worth more than Rs. 53.37 billion for Azad Kashmir. Under the Prime Minister’s special package, key development projects are underway in various districts of Azad Kashmir.

The development package includes a proposal to allocate Rs. 32 billion for Azad Kashmir Block Allocation and funds for the Jagran Phase-II Hydropower Project. Approval has been given for Rs. 2.9747 billion for the construction of the Azad Kashmir Legislative Assembly Complex.

A proposal has been made to allocate Rs. 1.3762 billion for the construction of the Rathua Haryam Bridge on the Mirpur-Islamgarh Road, and approval has been given for Rs. 1.0774 billion for the Mirpur MBBS Medical College Project.

Rs. 421.3 million have been allocated for the Mirwaiz Muhammad Farooq Shaheed Medical College in Muzaffarabad, Rs. 419.3 million for the construction of the Noseri-Laswa Bypass Road, and Rs. 600 million for the rehabilitation project of people affected by the Line of Control.

Rs. 10 million have been allocated for the water supply and sewerage scheme in Mirpur city and its suburban areas, and Rs. 20 million for the 40 MW Duwarian Hydropower Project in Neelum District. A proposal has been made to allocate Rs. 199.8 million for the expansion of Phase-IV of cellular services in Azad Kashmir and Gilgit-Baltistan, and to approve Rs. 179.5 million for the establishment of a Women’s University in Bagh, Azad Kashmir.

A budget of Rs. 138.5 million has been proposed for the promotion of academic and research facilities at the University of Kotli, Azad Kashmir, and Rs. 77 million for the development of academic blocks and research laboratories at the same university.

The federal government has already approved Rs. 30 billion for the Danish Schools project in Azad Kashmir, Gilgit-Baltistan, and Balochistan, and a proposal has been made to allocate Rs. 8 billion for the Danish Schools project in the upcoming fiscal year 2025–26.

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