
Punjab hikes salaries pensions
LAHORE: The Punjab government in its budget 2025-26 proposed a 10-per cent increase in the salaries of government employees and a 5-per cent hike in pensions of retired employees.
The 10pc salary increase will apply to all provincial government employees, while retired public servants will receive a 5% increment in their monthly pensions.
The increases are part of the Rs2,706.5 billion non-development expenditure allocation, which also includes funding for salaries, pensions, and administrative costs.
Copyright Business Recorder, 2025

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Express Tribune
a day ago
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Education, health get big boost
Punjab Finance Minister Mian Mujtaba Shujaur Rehman on Monday presented a Rs5,335 billion surplus budget for financial year 2025-26 in the provincial assembly amid strong protest by the opposition. In the next fiscal year, the government estimated Rs4,062.2 billion federal transfers from the Federal Divisible Pool, while Rs828.2 billion would be generated from the province's own resources under the head of provincial revenue. The government allocated Rs2,706.5 billion for the non-development expenditures – a 6% increase over expenditures in the outgoing fiscal year – which included salaries, pensions, PFC transfers and service delivery. The current capital expenditures was estimated at Rs590.2 billion. "I am glad to inform that the Punjab government is going to present a record development budget of Rs1,240 billion which is 23% of the total budget and 47% higher than the current year's development outlay," the finance minister said in his speech. He added that it was a matter of satisfaction that the proposed expenditures under Account-II (Food) had come to Rs58.3 billiona decline of 88% compared to fiscal 2024-25. "And its prime reason is the reduction in financial burden from national exchequer through payment of the circular debts accumulated over several decades which is glaring evidence of our government's best economic planning and that also caused 94% decrease in payments of the internal debts." Empowering the local governments, the minister told the house, the provincial government allocated Rs764.2 billion under the head of the PFC Award. Rs150 billion were earmarked for waste management and municipal corporations. Education The provincial government has allocated Rs661 billion for education which is 24.4% of the total non-development expenditures. While Rs148 billion has been allocated under the head of development in coming fiscal year for the education sector which is 127% higher than 2024-25. The government had awarded laptops to 40,000 students of universities and colleges through the Chief Minister Punjab Laptop Scheme initiated with Rs27 billion and Rs10 billion, respectively. To promote digital education, the government also earmarked Rs15.1 billion for this purpose through which 112,000 students will be given laptops in the coming year. An amount of Rs15 billion was allocated for the Honahar Scholarship Programme wherein efficient and deserving students will be given opportunities of the best education. For the first time, the government has allocated Rs40 billion for renovation of the dilapidated buildings, missing facilities, IT Labs, extra class rooms in government schools through the school management councils under the Punjab Education Initiative Management Authority (PEIMA). Rs35 billion has been earmarked for the provision of education through private participation under Punjab Education Foundation (PEF). With Rs3 billion, a project of establishing the Nawaz Sharif Centre of Excellence for early childhood education is being started in 10 divisions. Eight new government-affiliated colleges for girls are being established in the province with Rs2 billion. For the first time in Punjab's history, that provincial government earmarked Rs25 billion for universities for the promotion of higher education. Rs2billion has been allocated for Mian Nawaz Sharif Engineering and Technology University. Health The government earmarked Rs181 billion for health sector under the head of development in the next fiscal year, which is 131% higher than the current fiscal year. Under the non-development head, the government allocated Rs450 billion for next fiscal year which is 16% of the total non-development expenditures. The government earmarked Rs109 billion for for establishment of Nawaz Sharif Medical District and Land Acquisition. Under this medical district, Rs54billion will be spent on seven new projects being initiated in Lahore City. The new projects include Children Hospital-II and Institute of Genetic Blood Diseases; Institute of Surgical Orthopaedic and Medical Rehabilitation; Specialised Medical Hospital and Medical College; 1,000-bedded Cardiac Institute; Medical University; State-of-the-art diagnostic lab; and Centre of Excellence for Nursing Education. The government allocates Rs16 billion for establishing medical colleges in Narowal, Okara and Layyah. The project of establishing burn units in Bahawalpur and Rahimyar-Khan at a cost of Rs4 billion has also been made part of this budget. Rs79.5 billion has been allocated for free medicines at government hospitals. In 2024-25, Rs56 billion was earmarked for this purpose, through which over 20 million patients were benefitted with free medicines worth Rs11.1billion. The provision of quality medical treatment with Rs25 billion under the Universal Health Insurance Programme is also included in the priorities of this budget. Rs3.2billion has been earmarked for the Chief Minister's Paediatric Heart Surgery Programme, Rs3.6billion for the Chief Minister's Special Initiative for Transport Programme, Rs8.7billion for the Chief Minister's Dialysis Programme, Rs3billion for Cath Labs, Rs9 billion for the Maryam Nawaz Health Clinics Programme and Rs12.6 billion for the Maryam Nawaz Community Health Programme through the community health inspectors. Two projects of worth Rs20billion has been made part of this budget aimed at upgradation of the BHUs across Punjab. The government earmarked Rs2billion for provision of fire services in 39 tehsils and Rs2billion for establishing the rescue stations in 33 new tehsils and towns. Agriculture The government earmarked Rs123 billion under the development head and Rs56.2 billion under the non-development head in the coming fiscal year for agriculture, livestock, irrigation and water. The government allocated Rs80 billion for agriculture sector, which is 24% higher than the current fiscal year. Green Tractor Scheme's Phase-II will be initiated with Rs5.5 billion and a new project under the banner of High-Power Tractor Programme will be initiated with Rs10 billion. For the Kisan Card, the government earmarked Rs6.3 billion, while Rs8.7 billion for solarisation of agriculture tube-wells schemes. The government earmarked Rs8 billion for Chief Minister's Water Efficient Agriculture (2025-27) – a project which is being initiated for the construction, conservation and efficient utilisation of water resources for agriculture purposes to help line the watercourses. Rs25 billion has been earmarked for three projects – establishment of water reservoirs; water conservation and water use efficiency; and the water infrastructure development and establishment of water storage. The government estimated Rs9 billion to meet the water's deficiency at Kasur with a project titled the New Ravi Syphon. A dam will also be constructed at Rawalpindi with Rs4.2 billion for watering 2,280 acres of agriculture land. Climate resilience To implement the Climate Resilient Punjab Vision, different projects have been made part of the climate budget, tagging a framework of Rs795 billion which is 64% of the total development budget. Out of which Rs277.4 billion is allocated for climate adaption, Rs371.7 billion for climate mitigation, Rs146 billion for environment protection. Rs40 billion under the development head and Rs12.9 billion under the non- development head have been earmarked for environment protection, forest and wildlife. To deal with environment dangers like smog, the government earmarked Rs5.7 billion for the Punjab Clean Air Programme. Governance and law, order The government allocated Rs35 billion under the development head and Rs4 billion under the non-development head for governance and IT sectors. The government earmarked Rs10 billion under the development and Rs290 billion under non-development head. To enhance efficiency of the police department, the government allocated Rs200 billion under non-development head. A new 'Crime Control Department' is being established with Rs3.3 billion under non-development head, while Rs3.24 billion under the development head to stop heinous nature crimes. Other allocations The government allocated Rs336 billion to infrastructure development sector, which is 27% of the total development budget. Rs4 billion is earmarked for the energy sector; Rs31.4 billion under development and Rs107.3 billion under non-development head for the social protection and welfare. The government allocated Rs19.2 billion for 62 development schemes for the welfare of the women. The government allocated Rs28 billion under the development head and Rs1.3 billion under the non-development head to the tourism, archaeology and museums. Opposition protest As the budget speech started, the opposition lawmakers assembled near the chair of the speaker. They tore up the budget books and chanted slogans against the budget, terming it anti-poor people. Chief Minister Maryam Nawaz was present in the House. The Opposition tried its best to disrupt the finance minister's speech through their noisy protest but all in vain as Rehman continued his speech.


Business Recorder
a day ago
- Business Recorder
Punjab tags record Rs1240bn for ADP
LAHORE: The Punjab government has unveiled a record allocation of Rs. 1,240 billion for the Annual Development Program (ADP) for fiscal year 2025-26, reflecting a significant 47.3% increase from the Rs. 842 billion allocated in the previous year. According to the budget documents released on Monday, this marks the largest ADP in Punjab's history and underscores the government's focus on sustainable, inclusive, and forward-looking development. With a population of over 127.7 million, Punjab continues to drive Pakistan's economy, contributing more than 55% to the national GDP, nearly 60% of total exports, and about 68% of agricultural output. Amid growing urbanisation and rising pressure on infrastructure, energy, and environmental resources, the government has positioned this ADP as a strategic response to evolving challenges. Aligned with URAAN Pakistan, the 13th National Development Plan, and the Sustainable Development Goals (SDGs) 2030, the development program aims to promote equity, innovation, and climate resilience, particularly benefiting underserved regions like South Punjab. The ADP 2025-26 focuses on major public investments across key sectors. The education sector has been allocated Rs. 148 billion, up from Rs. 82 billion last year, while healthcare will receive Rs. 182 billion, compared to Rs. 165 billion previously. Agriculture has been earmarked Rs. 80 billion, with Rs. 145 billion set aside for urban development and Rs. 120 billion for roads. The transport sector will get Rs. 85 billion, local government and community development Rs. 142 billion, and irrigation Rs. 38 billion. Additionally, Rs. 38 billion has been allocated for planning and development, Rs. 15 billion for environment and climate change, Rs. 25 billion for forestry, wildlife and fisheries, and Rs. 28 billion for tourism and archaeology. Industries, commerce and investment, and skill development and entrepreneurship will each receive Rs. 12 billion, while Rs. 6 billion has been allocated for water supply and sanitation. Copyright Business Recorder, 2025


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