Finance Division issues FY27 budget ceilings with defence, security among top allocations

The Finance Division has issued provisional Indicative Budget Ceilings (IBCs) for employees-related expenditures (ERE) and non-employees-related expenditures (Non-ERE) for fiscal year 2026–27, setting out proposed allocations for federal ministries, divisions and constitutional bodies.

According to the projections, the Combined Civil Armed Forces have been allocated the highest IBC at Rs279.12 billion, comprising Rs200.2 billion for ERE and Rs78.85 billion for Non-ERE. The Federal Board of Revenue follows with an indicative allocation of Rs83.61 billion.

Within defence and security-related spending, the Defence Division has been assigned an IBC of Rs13.21 billion, while the Intelligence Bureau Division has been provisionally allocated Rs19.56 billion. The Airports Security Force is projected to receive Rs17.63 billion, and the Interior and Narcotics Control Division Rs20.17 billion. Atomic Energy has an indicated ceiling of Rs20.456 billion.

On the civilian side, the Federal Education and Professional Training Division has been provisionally allocated Rs34.75 billion, while the Higher Education Commission has an IBC of Rs1.42 billion. The National Health Services Division is projected to receive Rs32.69 billion.

Social protection allocations include Rs6.57 billion for the Benazir Income Support Programme and Rs4.26 billion for Pakistan Bait-ul-Mal. In the governance and accountability sector, the National Accountability Bureau has been assigned an IBC of Rs7.55 billion, while the Law and Justice Division is projected to receive Rs10.80 billion.

Parliamentary institutions have also been given sizeable indicative ceilings, with the National Assembly allocated Rs16.67 billion and the Senate Rs9.25 billion.

The IBCs further indicate significant allocations for foreign affairs, with foreign missions assigned Rs59.71 billion and the Foreign Affairs Division Rs4.61 billion.