{"id":5074,"date":"2026-06-19T15:54:27","date_gmt":"2026-06-19T15:54:27","guid":{"rendered":"https:\/\/www.worldwatchalert.com\/?p=5074"},"modified":"2026-06-19T15:54:28","modified_gmt":"2026-06-19T15:54:28","slug":"kp-cm-unveils-rs2-17tr-budget-for-fy2026-27-with-rs48-bn-fiscal-deficit","status":"publish","type":"post","link":"https:\/\/www.worldwatchalert.com\/?p=5074","title":{"rendered":"KP CM Unveils Rs2.17tr Budget for FY2026-27 with Rs48 bn Fiscal Deficit"},"content":{"rendered":"\n

PESHAWAR: Khyber Pakhtunkhwa Chief Minister Sohail Afridi on Friday presented the provincial budget for the fiscal year 2026-27, with a total outlay of Rs2.17 trillion and an estimated fiscal deficit of Rs 48 billion, according to the budget documents.<\/strong><\/p>\n\n\n\n

At the beginning of his budget speech, Afridi said that all Pakistan Tehreek-e-Insaf (PTI) lawmakers in the provincial assembly had “unanimously decided” to present the budget.<\/p>\n\n\n\n

Earlier, uncertainty surrounded the presentation of the KP budget as the provincial government had reportedly linked it to a meeting with incarcerated PTI founder Imran Khan.<\/p>\n\n\n\n

During his speech, Afridi announced that the budget carried a deficit of Rs48 billion. He said the KP government would not seek a loan for the amount and would instead provide the funds to the people of the province through its own resources.<\/p>\n\n\n\n

He further stated that the budget had been prepared in line with the Federal Board of Revenue\u2019s (FBR) tax collection target of Rs15.2 trillion.<\/p>\n\n\n\n

“There will be no grants for the Centre in this budget,” he added.<\/p>\n\n\n\n

The statement appeared to refer to an arrangement under which provinces have been asked to freeze their share from the federal tax divisible pool under the National Finance Commission (NFC) award. Under the arrangement, any receipts above the current year’s level would be returned to the federal government as grants.<\/p>\n\n\n\n

Afridi said the provincial government\u2019s representatives had clearly conveyed during a meeting of the National Economic Council that any decision regarding providing grants to the federal government could not be taken without consulting Imran Khan.<\/p>\n\n\n\n

“We said Imran Khan sahib is the final authority on this,” he said, adding that KP government representatives were not being allowed to meet the PTI founder.<\/p>\n\n\n\n

He said his party had demanded a meeting with Imran Khan before the presentation of the provincial budget, while reiterating PTI\u2019s allegations that Imran Khan and his wife Bushra Bibi were being kept in solitary confinement and isolation.<\/p>\n\n\n\n

Amid opposition protests, Afridi said the government had also demanded permission for Imran Khan to meet his family. “The restoration of Imran\u2019s fundamental rights was also demanded,” he added.<\/p>\n\n\n\n

He further said demands had been made for Imran Khan to receive medical treatment in the presence of his personal physicians, along with allowing him telephone contact with his sons and access to television, books and newspapers.<\/p>\n\n\n\n

“We will not sign any draft until we are allowed to meet Imran,” he asserted, appearing to link the issue of KP providing grants to the Centre with access to meetings with the PTI founder.<\/p>\n\n\n\n

Turning to the FY2026-27 budget, Afridi said the provincial government\u2019s focus had shifted from development towards progress and prosperity. He said the vision behind the budget, titled “Khushaal Pakistan”, was to ensure that the benefits of prosperity reached the people.<\/p>\n\n\n\n

The chief minister said KP would receive Rs1.59 trillion through federal transfers during the upcoming fiscal year, while the provincial receipts target had been set at Rs182.4 billion.<\/p>\n\n\n\n

The overall revenue target was set at Rs2.12 trillion against the total budgeted expenditure of Rs2.17 trillion.<\/p>\n\n\n\n

According to the budget details, Rs1.64 trillion has been allocated for current expenditure, while Rs524.2 billion has been earmarked for the Annual Development Programme (ADP).<\/p>\n\n\n\n

The budget estimates include Rs199 billion in federal grants for merged districts, while foreign assistance for development projects has been projected at Rs150 billion.<\/p>\n\n\n\n

Meanwhile, federal development and non-development grants under the Public Sector Development Programme (PSDP) have been estimated at Rs5.1 billion.<\/p>\n\n\n\n

The budget proposals also include a 7 per cent increase in salaries and pensions of government employees.<\/p>\n\n\n\n

According to the budget documents, no new taxes have been proposed for the upcoming fiscal year. The provincial government has also reduced the infrastructure development cess from the existing 2 per cent to 0.75 per cent.<\/p>\n","protected":false},"excerpt":{"rendered":"

PESHAWAR: Khyber Pakhtunkhwa Chief Minister Sohail Afridi on Friday presented the provincial budget for the fiscal year 2026-27, with a total outlay of Rs2.17 trillion and an estimated fiscal deficit… <\/p>\n","protected":false},"author":1,"featured_media":5075,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[869,2396,35],"class_list":["post-5074","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pakistan","tag-khyber-pakhtunkhwa-politics","tag-kp-budget-2026-27","tag-pakistan"],"yoast_head":"\nKP CM Unveils Rs2.17tr Budget for FY2026-27 with Rs48 bn Fiscal Deficit - World Watch Alert<\/title>\n<meta name=\"description\" content=\"KP Chief Minister Sohail Afridi presents Rs2.17 trillion FY2026-27 budget with a Rs 48 billion deficit, focusing on development, salaries, revenue targets and no new taxes.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.worldwatchalert.com\/?p=5074\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"KP CM Unveils Rs2.17tr Budget for FY2026-27 with Rs48 bn Fiscal Deficit - 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