PESHAWAR: Khyber Pakhtunkhwa’s Finance Advisor, Muzzammil Aslam, announced that the provincial government has prepared a realistic budget for 2025-26, focusing on financial discipline and development needs without taking new loans.
Addressing a post-budget press conference, he said that KP did not receive its full share of funds under the National Finance Commission (NFC) and Annual Development Program (ADP). Despite this, the province is close to meeting its revenue target of Rs. 93 billion for the current fiscal year.
The government spent Rs. 20 billion on development projects in tribal districts and Rs. 47 billion on regular expenses. The ADP budget has been increased to Rs. 153 billion, with Rs. 419 billion worth of projects already completed. For the next year, 810 new projects worth over Rs. 500 billion have been planned.
The finance advisor clarified that KP will not take new loans unless a major project requires it. The province has set aside Rs. 150 billion for repaying existing debts, which is earning Rs. 60 million daily in profit. Additionally, the federal government will pay KP Rs. 70 billion for hydropower next year, with Rs. 3 billion being paid monthly.
KP government employees receive nearly 30 different allowances, including a 30% extra allowance for those working outside the Secretariat. Police salaries have been raised to match Punjab Police, with an additional 10% increase.
Muzzammil Aslam said the provincial government will continue to focus on financial discipline, improving underdeveloped areas, and ensuring public welfare in the coming year.
