Summary Opposition rejects the budget, terming it a “web of words” and accusing the government of failing to address public challenges.
LAHORE (Dunya News) – Punjab has unveiled a “people-friendly” budget for the financial year 2026-27 with a total outlay of Rs5,903 billion, reflecting a 10.7% increase over the previous year.
The provincial government says the financial plan has been prepared without imposing any new taxes and is aimed at providing relief to citizens amid ongoing economic pressures. The budget was presented in the Punjab Assembly during a session marked by strong political confrontation.
The budget session was presided over by Speaker Malik Muhammad Ahmad Khan, with Chief Minister Maryam Nawaz Sharif present in the House. Finance Minister Mian Mujtaba Shuja-ur-Rehman presented the fiscal framework, describing it as a “budget of hope” focused on public welfare and financial stability. He said the government had worked to balance fiscal constraints while ensuring maximum relief for citizens.
However, the proceedings were disrupted by opposition lawmakers, who staged a protest soon after entering the House. Members gathered near the Speaker’s dais, raised slogans and created commotion, briefly interrupting the Finance Minister’s speech and highlighting the deepening political divide within the assembly.
Budget speech
Opposition stance
Opposition Leader Moeen Riaz Qureshi rejected the budget outright, terming it a “web of words” and accusing the government of failing to address the real challenges faced by the public. He described the financial plan as “anti-people” and “anti-farmers,” arguing that it does not reflect ground realities or the needs of ordinary citizens.
He further criticised the ruling leadership for what he called a lack of meaningful engagement during the assembly proceedings, adding that political stability was essential for economic progress in the province. The opposition maintained that the budget lacked practical solutions and was heavy on rhetoric rather than delivery.
Government response
Responding to criticism, the provincial government defended the budget as a balanced and reform-oriented plan designed to support public welfare and strengthen financial discipline. Chief Minister Maryam Nawaz Sharif said the administration had made every effort to provide relief to citizens despite economic challenges and broader global uncertainties.
She added that the province had prioritised responsible financial management and continuity of services without adding any new tax burden. The chief minister also expressed confidence that the budget would meet public expectations and continue the government’s broader reform agenda.
The budget is expected to undergo further debate and review in the Punjab Assembly as political tensions continue between the treasury and opposition benches.
Rs752b allocated for development projects
Punjab Finance Minister Mujtaba Shuja-ur-Rehman said that Rs 752 billion have been allocated for development projects in Punjab, adding that no compromise has been made on the province’s development agenda. He said salaries of ministers were reduced and the work carried out under Chief Minister Maryam Nawaz Sharif’s leadership has been widely appreciated at every forum.
He stated that the government played a full role in stabilizing the economy and provided maximum relief to the public during floods. “Today, facilities are being delivered to citizens at their doorsteps across Punjab,” he added.
The finance minister said every district and tehsil of Punjab is part of the development journey, and that Maryam Nawaz has introduced revolutionary initiatives in the province. He further said Punjab played its role as the “elder brother” in strengthening Pakistan’s defense.
Mujtaba Shuja-ur-Rehman added that Punjab contributed Rs 546 billion to the federal government, calling the province the backbone of Pakistan. He said more than 400,000 people were provided jobs on merit, while the government has also worked to control all unnecessary expenditures.
SALARIES & PENSIONS
Punjab government has proposed salary and pension increases for employees and retirees in the 2026-27 budget, allocating over Rs1.1 trillion for pay and pension payments.
- Government employees in Punjab are set to receive a proposed 7% increase in salaries from the next fiscal year.
- Retired employees have been given a proposed 3.5% increase in pensions.
- The budget has allocated Rs650 billion for salaries of provincial government employees.
- Around Rs505 billion has been reserved for pension payments of retired employees.
- The proposed measures are part of Punjab’s Rs5.9 trillion tax-free budget for 2026-27.
HEALTH
Rs500 billion has been earmarked for the health sector in Punjab province for the fiscal year 2026-27.
EDUCATION
An amount of Rs750 billion has been earmarked for the education sector in Punjab province for the fiscal year 2026-27.
