'No new tax in Punjab budget'
The Punjab government will present its annual budget for the fiscal year 2025-26 on June 16, following a short delay from the previously announced date of June 13. Finance Minister Mujtaba Shujaur Rehman confirmed the change, citing the need for additional preparation. He reiterated that no new tax will be introduced in the budget.
Estimated at over Rs1.2 trillion, the fiscal plan is expected to feature a record-breaking development outlay, with strong emphasis on health, education, infrastructure and tourism.
According to official sources, the finalised draft includes more than 850 development schemes, with a total allocation exceeding Rs353 billion. This includes approximately Rs161 billion for 520 ongoing projects, around Rs135 billion for 333 new schemes, and over Rs57 billion allocated to six major development projects.
The Punjab Planning and Development Department has outlined a wide distribution of funds across key sectors. Urban development is expected to receive Rs145 billion, while the local government and community development department is proposed to receive Rs142 billion. The road sector is set to receive Rs120 billion, with Rs90 billion earmarked for health and population welfare. The school education department is likely to receive Rs100 billion, while agriculture is expected to get Rs80 billion. Transport and specialised healthcare are set to be allocated Rs70 billion each. Planning and development, and governance and IT are each proposed to receive Rs40 billion.
Additional allocations include Rs40 billion for irrigation, Rs25 billion each for public buildings and higher education, and Rs30 billion for tourism - a 600 per cent increase over the previous year. The industries sector is proposed to receive Rs12 billion and fisheries Rs10 billion, while wildlife would also be allocated Rs10 billion. The environment sector is expected to receive Rs15 billion, skill development Rs12 billion, sports Rs7.6 billion, energy Rs7.5 billion, water supply and sanitation Rs6 billion, and price control and commodities management Rs5.51 billion.
Forestry and livestock are each proposed to receive Rs5 billion, while human rights, minority affairs, and literacy are each set to receive Rs4 billion. Social welfare is allocated Rs3 billion, special education Rs2 billion, and information and culture Rs5 billion.
The development budget includes Rs893 billion in local funding and Rs184 billion in foreign assistance. An additional Rs125 billion is reserved for development initiatives of the chief minister.
Key projects under the upcoming budget include the expansion of Nawaz Sharif Medical City in Lahore, where new hospitals will be constructed under a public-private partnership model. The government also plans to roll out extensive sanitation and drinking water programmes across the province.
Infrastructure development remains a central priority. The provincial transport network will be expanded to additional cities, while road and urban infrastructure projects are planned in 66 cities.
The sources confirmed that proposals for new taxes, submitted by the Board of Revenue and the Punjab Revenue Authority, had been rejected by Chief Minister Maryam Nawaz Sharif. Instead, the government is reviewing the current tax structure to assess possible adjustments in existing rates.
The Punjab Assembly is scheduled to convene on June 16 for the presentation of the budget.
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