Punjab Finance Minister Mujtaba Shuja-ur-Rehman presented the provincial budget for the fiscal year 2025–26 during a session of the Punjab Assembly on Monday.
Following the federal government’s budget announcement a week earlier, the Punjab government has introduced a Rs 5.335 trillion budget for the upcoming fiscal year.
Out of the total budget, Rs 2.706 trillion has been allocated for non-development expenditures, including salaries and pensions. The minister noted a 6 percent increase in these non-development allocations.
The provincial government has earmarked Rs 590 billion for ongoing capital expenditures.
During the budget session, opposition members from Pakistan Tehreek-e-Insaf (PTI) staged strong protests. The finance minister began his address by highlighting key initiatives undertaken by the current provincial administration.
Mujtaba Shuja-ur-Rehman said that 6,104 projects have been completed during the ongoing fiscal year. He further announced the establishment of the Nawaz Sharif Institute of Cancer Treatment and Research in Lahore, at a cost of Rs 72 billion.
The provincial government has allocated Rs 1.24 trillion for development spending in FY 2025–26—an increase of 47 percent from the Rs 842 billion allocated in FY 2024–25.
The finance minister described the budget as a strategic transformation in Punjab’s fiscal history, marking it the largest development outlay to date. Punjab is expected to receive Rs 4.0622 trillion from the federal government, while the provincial revenue target has been set at Rs 828.2 billion.
An allocation of Rs 764.2 billion has been made for local governments. Additionally, Rs 150 billion and Rs 20 billion in special grants will be provided to waste management companies and municipal corporations, respectively.
The budget proposes Rs 70 billion for a comprehensive social protection package.
