The federal government is contemplating presenting the annual budget for the next fiscal year 2026-27 in the coming week instead of June 5, primarily due to political differences between key coalition partners PML-N and PPP over several issues. President Asif Ali Zardari has summoned the budget sessions of the National Assembly and the Senate to commence on next Friday. Finance Minister Senator Aurangzeb will unveil the finance bill 2026-27 for discussion in Parliament.
Revised Budget Schedule
Sources indicate that the federal government has revised the schedule for the upcoming budget for fiscal year 2026–27, with the presentation now expected next week rather than on June 5. The National Economic Council (NEC) meeting, originally scheduled for today (Wednesday) under the chairmanship of Prime Minister Shehbaz Sharif, has also been postponed. The meeting was anticipated to approve federal and provincial development programmes.
Legislative Hurdles
According to reports, the government aims to pass important legislation before the budget session. However, the Pakistan Peoples Party (PPP), a major government ally, is opposing the proposed amendments. The government is now working to address PPP's concerns prior to presenting the annual budget for the next fiscal year.
The government's other coalition partner, MQM-P, has also attached conditions to its support for the budget. MQM-P leader Farooq Sattar linked approval of the budget to the reappointment of Kamran Tessori as governor of Sindh last week.
Development Outlay and GDP Target
Earlier, on Monday, the Annual Plan Coordination Committee (APCC) recommended the highest ever national development outlay of Rs4.715 trillion and a GDP growth target of 4 percent for the upcoming fiscal year 2026-27. The APCC recommended this outlay for consideration by the National Economic Council (NEC). It includes a Federal PSDP of Rs1.126 trillion, Provincial ADPs of Rs3.138 trillion, and SOEs' investment of Rs451 billion.
The committee decided that over 98 percent of available resources will be directed toward ongoing projects, with priority given to high-impact and near-completion schemes, particularly in water, energy, transport, and other core infrastructure sectors.
