Punjab unveils 'people-friendly' FY27 budget with total outlay of Rs5.9tr

• Opposition stages protest during PA session, rejects budget.
• Govt unveils Rs1,995 billion three-year development plan.
• Education sector receives Rs750bn allocation in budget proposals.

Punjab Finance Minister Mian Mujtaba Shuja-ur-Rehman on Tuesday unveiled a "people-friendly" budget for the financial year 2026-27, with a total outlay of around Rs5.9 trillion, marking a 10.7% increase over the previous year.

The provincial government presented a Rs5,903.46 billion (Rs5.90 trillion) budget for the upcoming fiscal year, as Chief Minister Maryam Nawaz Sharif, provincial ministers and members of the provincial assembly attended the budget session.

Opposition lawmakers staged a protest during the proceedings, moving towards the speaker's dais and gathering in front of it, which caused a commotion in the House.

The government proposed a three-year development plan worth Rs1,995 billion aimed at strengthening economic growth, boosting exports and creating large-scale employment opportunities across multiple sectors.

The plan is expected to generate an additional $6.8 billion in exports and create millions of jobs through broad-based investment and sectoral development initiatives across the province.

Under the framework, Rs1,188 billion has been allocated to industry, Rs586 billion to agriculture, Rs230 billion to livestock, and Rs642 billion to tourism, while Rs190 billion has been earmarked for aqua farming development.

In addition, Rs186 billion has been set aside for the skills development sector, while Rs64 billion has been allocated for the technology sector, reflecting the government’s focus on diversified and modernised economic growth.

The budget also prioritised social sectors, with more than 10% of total spending allocated to health to ensure improved and free healthcare services across the province.

For the education sector, Rs750 billion has been proposed for fiscal year 2026–27, including Rs63.3 billion for development expenditure and Rs686.8 billion for non-development spending, accounting for over 15% of the total budget.

The government also allocated a total of Rs507 billion for development and non-development expenditures for the water, sanitation, urban and local development sectors.

Of this amount, Rs187.1 billion has been earmarked for development projects aimed at improving infrastructure and expanding essential public services across urban and rural areas of the province.

A major portion of the development budget will support the provision of safe drinking water and sanitation facilities.

Under the Saaf Pani Programme, projects worth Rs45 billion are currently being implemented in 18 districts across the province to ensure the supply of clean and safe drinking water.

As part of the initiative, more than 5,600 water filtration plants will be installed throughout the province.

The government is also digitally geo-tagging all filtration plants to enhance monitoring and transparency. In addition, a dedicated public helpline, 1336, has been established to address complaints and ensure efficient service delivery.

The provincial government is also pursuing rural development through the Model Village Programme, which carries an estimated cost of Rs59 billion. Under the programme, 48 villages in 10 divisions are being transformed into model villages equipped with modern civic amenities and improved infrastructure.

'Anti-people' budget: opposition leader

Opposition Leader in the Punjab Assembly Moeen Riaz Qureshi rejected the provincial budget, describing it as a "web of words" and alleging that it failed to address the real issues faced by the public and key economic sectors.

Addressing a press conference at the Punjab Assembly's media hall, Qureshi further termed the budget "anti-people" and "anti-farmers", arguing that it did not reflect the needs or priorities of ordinary citizens and rural communities across the province.

He also criticised CM Maryam for leaving the assembly session midway through the budget proceedings.

The opposition leader stressed that political stability must be restored in the country as a first step, saying that without stability, the wheel of the economy would not move forward effectively.

'People-friendly' budget: CM Maryam

Earlier today, CM Maryam approved the budget for the fiscal year 2026-27 after the 35th meeting of the provincial cabinet accorded its formal approval to the budget document.

Addressing the cabinet meeting, the chief minister expressed gratitude to Allah Almighty for presenting her third provincial budget and lauded the efforts of Senior Minister Marriyum Aurangzeb, Provincial Finance Minister Mujtaba Shuja-ur-Rehman, Information Minister Azma Bokhari, Chief Secretary Zahid Akhtar Zaman, Finance Secretary Mujahid Sherdil and the entire team involved in preparing the budget.

CM Maryam said the government had made every possible effort to provide maximum relief to the people and minimise the financial burden on them despite economic challenges and prevailing global conditions.

She added that although the province had to allocate a substantial amount as its share to the federation, the government remained committed to safeguarding public interests.

CM Maryam said the budget for FY27 had been prepared without imposing any new taxes and was focused on public welfare, development and prosperity.

She described it as a "budget of hope" aimed at delivering relief to citizens through the province's own resources.

The chief minister directed the Punjab Revenue Authority (PRA) to take effective measures to enhance revenue generation and strengthen the province’s financial capacity.

She appreciated the collective efforts of the cabinet members and officials, saying the entire team had worked as one unit to prepare a people-friendly budget.

Expressing confidence in the government's performance, Maryam said she hoped the budget would meet the aspirations of the people as in previous years.

She also prayed for the ability to continue serving the people of Punjab with sincerity and dedication.

— With additional input from APP