Khyber Pakhtunkhwa Rolls Out Rs2.17 Trillion Budget Focused on Growth

The Government of Khyber Pakhtunkhwa has unveiled a massive Rs2.17 trillion budget for the fiscal year 2026-27, outlining an ambitious financial roadmap aimed at strengthening public services, boosting economic activity, and expanding social protection across the province. Presented in the KP Assembly by Chief Minister Sohail Afridi, the budget reflects a strong focus on development-led growth alongside improved governance and welfare delivery, while projecting a modest deficit of Rs48 billion. Out of the total outlay, Rs524 billion has been allocated for the Annual Development Program, while Rs1.645 trillion has been reserved for recurring current expenditures. Additionally, Rs35 billion has been earmarked specifically for the merged tribal districts to enhance infrastructure and service delivery. The government has also announced relief measures including a 7% increase in salaries and pensions of government employees, along with raising the minimum wage from Rs40,000 to Rs45,000. Major sectoral allocations include Rs468 billion for education, Rs334 billion for health, and Rs191 billion for law and order, along with significant funding for MTI hospitals, Ehsaas programs, BRT, and regional uplift initiatives. New schemes for farmers, overseas job seekers, and electric mobility have also been introduced. The budget will now face detailed debate and approval in the provincial assembly before final passage.