The Khyber Pakhtunkhwa (KP) government has prepared its budget proposals for the financial year 2026–27, with the total volume estimated at more than 2,250 billion rupees.
According to the 24NewsHD TV channel report, the provincial budget will follow the federal government’s announced increase in salaries and pensions for public sector employees.
Officials said the province is expected to receive more than 1,671 billion rupees from federal transfers.
In addition, over 159 billion rupees are expected under the head of funds related to the ongoing fight against terrorism.
The province is also projected to receive more than 100 billion rupees in net hydel profit and arrears, which remain an important source of revenue for Khyber Pakhtunkhwa.
From its own resources, the provincial government anticipates generating more than 150 billion rupees in revenue during the upcoming fiscal year.
A significant allocation of around 334 billion rupees is expected for development projects in the merged districts, reflecting continued focus on integration and infrastructure development in these areas.
Under foreign assistance programmes, the province expects over 150 billion rupees in development aid.
For settled districts, the development budget has been estimated at around 1,971 billion rupees, indicating a large share of expenditure dedicated to infrastructure and public services.
The budget also proposes 15 billion rupees for the purchase of medicines in hospitals across the province, aiming to improve healthcare services.
Officials said the budget priorities include development spending, public welfare projects, and continued support for key social sectors.
Reporter: Sajid Baloch