The Khyber Pakhtunkhwa government is set to unveil its Budget 2026-27 today (Friday), with a proposed total outlay exceeding Rs2.15 trillion. The budget is expected to focus heavily on health, education, tourism, environmental sustainability, and revenue generation.
According to budget documents, the provincial government has proposed allocating Rs276.54 billion for the health sector. Around 82 percent of the allocation will be utilized for ongoing schemes, while the remaining 18 percent will fund new development projects. The budget also includes financial support for 93 ongoing health-sector development initiatives across the province.
The government aims to generate Rs150 billion in revenue from provincial resources during the upcoming fiscal year, reflecting efforts to strengthen local revenue streams.
Education remains a key priority in the proposed budget. The government has earmarked Rs363 billion for primary and secondary education, while higher education is expected to receive Rs45 billion. To improve student enrollment in settled districts, Rs500 million has been allocated, alongside Rs8.5 billion for the provision of free textbooks to students across the province.
The budget also highlights environmental and climate-related initiatives. The government plans to create more than 50,000 jobs through green projects and has proposed allocating 40 percent of carbon-related revenues to local communities to support sustainable development.
Tourism is another major focus area, with more than Rs12 billion proposed for the sector. Backed by support from the World Bank, the provincial government aims to enhance tourism infrastructure and services for up to five million visitors.
Budget documents further reveal that total expenditures during the first nine months of the current fiscal year reached Rs988 billion, including Rs431 billion spent on salaries. Salary expenditures are projected to increase by 13 percent in the next fiscal year, while pension-related costs are expected to rise by 17 percent.
Meanwhile, the estimated size of the Annual Development Programme (ADP) has been revised downward to Rs444 billion compared to earlier projections.
PTI Divided Over Presentation of KP Budget 2026-27
PESHAWAR: Internal differences have surfaced within the Pakistan Tehreek-e-Insaf (PTI) over the Khyber Pakhtunkhwa government’s decision to present the Budget 2026-27.
Several PTI leaders have expressed concerns over presenting the budget at this stage and have called a meeting today to discuss the party’s strategy.
Former Speaker of the Khyber Pakhtunkhwa Assembly, Mushtaq Ghani, said the meeting would focus on the party’s stance regarding the budget. He noted that Chief Minister Ali Amin Gandapur had earlier stated that the budget would not be presented before a meeting with PTI founder Imran Khan.
Mushtaq Ghani argued that moving forward with the budget now contradicts that position and questioned how pressure on the federal government would be maintained regarding access to the PTI founder.
However, PTI Chairman Barrister Gohar Ali Khan defended the move, stating that passing the provincial budget is a constitutional and legal obligation. He said the budget is a provincial matter and is not linked to the federal government.
The differing views highlight a growing divide within PTI over the timing of the Khyber Pakhtunkhwa budget and its political implications.
