BUDGET 2026-27: CPEC 2.0 only new project in Rs3.6tr development kitty

• Govt announces Rs1tr for PSDP, Rs2.2tr for provincial programmes, and Rs450bn for SOEs • Three key motorways, Main-Line 1 track, K-IV water scheme among mega-projects being financed • Major allocations for AJK, GB & tribal districts

ISLAMABAD: The government on Friday announced a Rs3.675 trillion development budget for the next fiscal year, with hardly any new uplift projects.

However, the Public Sector Develop­ment Programme (PSDP) contains a list of long-overdue mega-projects, which provinces had been insisting should be financed by the Centre.

The second phase of the China-Pakistan Economic Corridor (CPEC-II) is perhaps the only new initiative listed, for which Rs1 billion was allocated.

The outlay comprises the PSDP at Rs1 trillion, the Provincial Annual Development Programmes (ADPs) at Rs2.224 trillion, and reported development spending by state-owned enterprises (SOEs) at Rs451 billion.

In his budget speech, Finance Minister Muhammad Aurangzeb said that more than 60pc of the Centre’s priorities were focused on key sections including transport, energy, IT, science, agriculture, health, and education.

More than Rs365 billion has been allocated for transport infrastructure improvement, which includes key projects such as the N-25 highway connecting Karachi and Balochistan (Rs100bn), M-6 Sukkur-Hyderabad Motorway (Rs30bn), as well as fresh financing........

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