Punjab to present ‘Rs5.3tr’ tax-free budget today

Jun 16, 2026 | Economy

LAHORE — Punjab is set to present a tax-free budget exceeding Rs 5.3 trillion for the fiscal year 2026–27 during the provincial assembly session today. Provincial Finance Minister Mian Mujtaba Shuja-ur-Rehman will deliver the budget speech, outlining the region’s financial roadmap alongside the supplementary budget for the outgoing fiscal year.

Key Highlights

  • Total budget outlay is proposed at over Rs 5.3 trillion with no new taxes.
  • Punjab expects to receive Rs 4.4 trillion from the federal National Finance Commission (NFC) award.
  • More than Rs 700 billion has been allocated for the Annual Development Programme (ADP).
  • Current expenditures include Rs 650 billion for salaries and Rs 505 billion for pensions.
  • Balochistan has also summoned its budget session for Wednesday in Quetta.

NFC Share Drives Massive Spending Outlay

The financial blueprint relies heavily on federal transfers, with Rs 4.4 trillion coming through the NFC award, while Punjab’s internal revenue collection target is pegged at Rs 1 trillion. The government has earmarked Rs 800 billion for the Punjab Finance Commission to support local government tiers.

On the development front, the proposed ADP encompasses 3,560 schemes. The government plans to utilize Rs 493.25 billion to fast-track ongoing development projects, while Rs 258.75 billion will be set aside to fund brand-new public initiatives.

Mega Projects and Welfare Cards Retained

The upcoming budget focuses significantly on health, education, and cash-transfer cards. Resources have been allocated to establish the Kulsoom Nawaz Cancer Hospital in Dera Ghazi Khan, the Mian Nawaz Sharif University of Engineering and Technology, and the Shehbaz Sharif Sports Complex in Kasur.

Punjab Budget Allocation Breakdown (Rs Billions)
• Punjab Finance Commission: 800
• Total Development (ADP): 700
• Government Salaries: 650
• Pension Payments: 505

The provincial administration will also continue funding its flagship public welfare initiatives, including the Chief Minister’s Laptop Programme, the Kisan Card for farmers, the Livestock Card, and the Parwaaz Card for international job placements. Meanwhile, strict security protocols have been finalized around the assembly hall to prevent disruptions from opposition protests during the session.