In a high-level meeting chaired by Prime Minister Shehbaz Sharif, the National Economic Council (NEC) has approved a Rs1,000 billion development budget for the upcoming fiscal year, Budget 2025–26, ARY News reported.
According to reports, the NEC meeting was attended by the chief ministers of all four provinces along with representatives from the federal government.
During the session, several key economic decisions were finalised, including the target for Gross Domestic Product (GDP) growth, which has been set at 4.2 percent for Budget 2025–26.
Sources within the Planning Commission revealed that a budget cut was applied to the N-25 highway project in Balochistan. Instead of the initially proposed Rs120 billion, the council approved a reduced package of Rs100 billion.
As part of the broader planning for Budget 2025–26, the NEC also approved a national export target of $35 billion.
Read More: Pakistan likely to unveil Rs17.68 trillion budget 2025-26 on June 10
In addition to this, macroeconomic goals, the Public Sector Development Programme (PSDP), and national development plans were reviewed and endorsed.
Key sectors including agriculture, industry, and services were given performance targets aligned with the upcoming fiscal policies.
Ahead of the meeting, Prime Minister Shehbaz Sharif held individual sessions with the chief ministers of all provinces, signalling efforts to ensure consensus and collaboration for Budget 2025–26.
This substantial allocation underlines the government’s intention to drive infrastructure and economic growth, while also adjusting certain project budgets in light of changing priorities.
Earlier, it was reported that the Pakistan government will likely unveil Rs17.68 trillion budget 2025-26 on June 10.
According to details, a significant decline in the policy rate is expected to reduce expenditure on loans and interest payments by approximately Rs1,300 billion in budget 2025-26.
Sources suggest that the size of the upcoming federal budget could be around Rs17.8 trillion, which is Rs 900 billion less than the current fiscal year’s budget of Rs18.7 trillion.
The upcoming budget 2025-26 will place strong emphasis on austerity measures in Pakistan, which will be implemented rigorously.
