The Balochistan government on Tuesday presented a record Rs. 1.028 trillion budget for fiscal year 2025-26, projecting a surplus of Rs. 42 billion.
The proposed budget emphasizes development spending, job creation, and public welfare initiatives. Presenting it before the Balochistan Assembly, provincial Finance Minister Shoaib Nosherwani said the estimated revenue for the upcoming fiscal year stands at Rs. 1.020 trillion, with total expenditures estimated at Rs. 986 billion.
Focus on Development
Out of the total outlay, Rs. 642 billion has been earmarked for non-development expenditures, including salaries, pensions, and administrative costs. Development expenditure has been allocated Rs. 249.5 billion under the Public Sector Development Program (PSDP), including Rs. 66.5 billion in federal grants and Rs. 38 billion in foreign aid.
The budget prioritizes infrastructure, healthcare, and education. The health sector will receive Rs. 16.5 billion in development funds, with a further Rs. 71 billion allocated for non-development expenses. In education, Rs. 19.8 billion has been designated for development, while non-development allocations stand at Rs. 101 billion for school education and Rs. 24 billion for higher education.
Other notable development allocations include:
– Rs. 55 billion for road infrastructure under Communications and Works.
– Rs. 42.8 billion for irrigation projects, including small dams and canals.
– Rs. 17 billion for Public Health Engineering (drinking water and sanitation schemes).
– Rs. 12.7 billion for science and I.T. under the “Digital Balochistan” initiative.
– Rs. 10 billion for agriculture uplift.
– Rs. 7.8 billion for energy, with an emphasis on renewable sources.
– Rs. 25 billion for the Mashkhel Dam, expected to boost solar-powered agriculture and industrial activity.
Additionally, Rs. 4.5 billion has been allocated for a province-wide health card scheme, while Rs. 18 billion will go towards Safe City surveillance and emergency response projects in eight major urban centers.
Relief measures
The government announced a 10% salary increase for provincial employees and a 7% pension raise for retirees. The Disparity Reduction Allowance has also been enhanced to 20% for Grade-1 to 16 employees, aiming to address pay gaps among civil servants.
The budget outlines the creation of 4,188 contract-based positions and 1,958 permanent jobs across various departments. In a cost-saving measure, 6,000 redundant posts will be eliminated, freeing up Rs. 14 billion for development initiatives.
The government has set an ambitious revenue target of Rs. 226 billion through provincial sources. This includes expected income from Sui gas lease extensions, mining royalties, and local taxation. An additional Rs. 801 billion is anticipated through federal transfers.
Presenting the budget, the finance minister said the document was “people-centric, development-driven, and fiscally responsible.” He noted that it reflects Balochistan’s commitment to self-reliance and inclusive growth.