Balochistan announces Rs1,028 billion surplus budget for FY2025-26

Rs249 billion allocated for development, 10% salary increase for government employees, and 7% pension rise for retirees

The Balochistan government unveiled a comprehensive budget for fiscal year 2025-26, totaling Rs1,028 billion, with a strong emphasis on addressing key challenges in healthcare, education, infrastructure, and climate change. 

Finance Minister Mir Shoaib Nosherwani presented the surplus budget, detailing significant allocations for public welfare and developmental initiatives.

According to the budget document, the total outlay for FY2025-26 is Rs1,028 billion, with Rs640 billion earmarked for non-development expenditures. The provincial government has projected Rs801 billion in federal revenue and Rs101 billion in its own revenue, while Rs24 billion is expected from the Sui gas lease extension bonus.

For development spending, Balochistan plans to allocate Rs249 billion from its own resources, with another Rs66.5 billion allocated for federal development projects. The government also expects Rs30 billion in development funding from foreign aid.

The government has proposed a 10% increase in salaries for government employees and a 7% rise in pensions for retired government workers. Additionally, a 20% increase in the disparity allowance is suggested for employees in grades BS 1 to BS 16.

Key sectoral allocations include Rs55.2 billion for the Communications Department, Rs42.7 billion for the Irrigation Department, and Rs19.8 billion for school education. 

The health sector will receive Rs16.5 billion, while the Local Government Department’s development budget has been set at Rs12.9 billion. Other allocations include Rs7.8 billion for the Energy Department, Rs4.99 billion for higher education, and Rs56 crore for mines and minerals.

In a significant move to address the province’s housing crisis, Rs1.1 billion has been allocated to the housing sector. The agriculture sector has been allocated Rs10 billion, while the science and technology department has been allotted Rs12.6 billion. Women’s development will receive Rs15 crore.

During the cabinet meeting, Chief Minister Sarfaraz Bugti praised the finance minister and the planning team for delivering a balanced budget. He added that the second batch of 2,300 youth would soon depart for training abroad, an initiative aimed at enhancing skills in the province.

Bugti also highlighted the provincial government’s plans to prioritize transparency in the implementation of mega projects worth Rs60 billion and assured that 3,200 government schools that had been closed due to financial constraints would be reopened. Moreover, 150 Basic Health Units (BHUs) will be integrated with telemedicine services to improve healthcare access.

The Chief Minister reiterated that priority sectors for the upcoming fiscal year include irrigation, communication, education, health, law and order, and climate change, all of which are key areas of focus in the new budget.

The Balochistan government’s proposed budget for FY2025-26 is set to address pressing economic and social challenges, while also focusing on long-term development to improve the quality of life for its citizens.

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