Govt to announce budget 2026-27 today
Finance Minister Senator Muhammad Aurangzeb will present the Pakistan federal budget in the National Assembly.
The proposed plan includes Rs15.267 trillion in tax revenue targets, Rs7.824 trillion for debt payments, and Rs3 trillion for defence spending.
The Rs17.5 trillion budget also includes possible relief measures for government employees, with expected increases in salaries and pensions. The government is also planning to collect Rs1.727 trillion through the petroleum levy.
Under the Budget 2026-27 Pakistan, export and import targets have been set at $32.8 billion and $70 billion respectively.
Officials said no major new development projects are expected, as the government wants to focus on completing ongoing schemes.
The Pakistan federal budget may also include changes to tax exemptions previously available in former FATA areas.
The proposals were approved during a federal cabinet meeting chaired by Prime Minister Shehbaz Sharif before the budget presentation.
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The opposition has decided not to boycott the National Assembly session, although it will continue protests and demand a meeting with PTI founder Imran Khan.
According to the Pakistan Economic Survey for FY2025-26, the economy recorded 3.7% growth, the highest level in four years.
However, growth remained below the 4% target due to energy shortages and external pressures.
The survey showed that per capita income increased to $1,901, while the economy reached $452 billion in dollar terms and Rs126.9 trillion in local currency.
The Rs17.5 trillion budget comes amid several economic challenges. Inflation returned to double digits, exports declined, imports increased, and tax collection targets were not achieved. Foreign direct investment reached $1.4 billion, mainly supported by China and Hong Kong.
Foreign exchange reserves stood at $20.6 billion, while the fiscal deficit remained at 0.7% and the current account recorded a surplus of $72 million.
Read Also: Will Budget 2026-27 create jobs as unemployment hits a 21-year high?
The Budget 2026-27 Pakistan is expected to play an important role in shaping the country’s economic direction. The government says the plan aims to balance development, financial stability, and public relief.
Experts believe the success of the Pakistan federal budget will depend on effective implementation, improved revenue collection, and steps to control inflation.
