Out of a total Federal Public Sector Development Programme (PSDP) outlay of Rs1 trillion for the current fiscal year, only Rs16.59 billion has been set aside for new development projects. The rest of the funding is focused on ongoing initiatives, according to a response from the Ministry of Planning to the National Assembly Standing Committee on Economic Affairs Division.
The ministry noted that federal PSDP funding prioritizes ongoing core and mega projects of national significance. Unlike the National Finance Commission Award, PSDP funds are not distributed among provinces but are allocated for development projects prepared by relevant federal ministries and divisions, as approved by authorities such as DDWP, CWDP, or ECNEC.
The ministry reported that the PSDP covers 801 projects, of which 733 are ongoing and 68 are new. For 238 national projects, Rs313 billion has been allocated, including Rs306.9 billion for ongoing projects and Rs6.65 billion for new ones.
In Punjab, Rs76.63 billion has been earmarked for 127 projects, with Rs75 billion for ongoing projects and only Rs1.55 billion for new initiatives. Sindh’s allocation of Rs146 billion includes Rs144.85 billion for ongoing projects and Rs1.15 billion for new ones.
Khyber Pakhtunkhwa received Rs308 billion for 71 projects, with Rs30.64 billion for ongoing projects and Rs200 million for new projects. Balochistan was allocated Rs209.6 billion, including Rs208.3 billion for ongoing projects and Rs1.3 billion for new development initiatives.
No new project funding was allocated for Azad Jammu Kashmir, while Gilgit-Baltistan received Rs183 million for new projects out of a total Rs59.16 billion allocation. The merged districts (formerly FATA) and Federal/ICT were allotted Rs67.6 billion, including Rs5.58 billion for new projects.
