Sindh to Present Rs1 Trillion Budget for 2025-26 — Salaries and Pensions Set to Increase

KARACHI:
Sindh Chief Minister Murad Ali Shah is set to present a Rs1,018 billion provincial budget for the fiscal year 2025-26 in the Sindh Assembly today (Friday). The development budget is expected to rise from Rs493 billion to Rs520 billion, with Rs55 billion earmarked for district-level development initiatives.

A special session of the Sindh Assembly has been called at 3 PM by Acting Governor Awais Qadir Shah. Before the assembly session, the provincial cabinet will meet at 10 AM to give final approval to the proposed budget.

Sources suggest that the budget may include a hike in tax revenue targets. Government employees are likely to receive a 10% raise in their salaries, while pensions are expected to go up by 7%. Several new transport projects are also likely to be introduced as part of the increased development spending.

Foreign funding of Rs366 billion and Rs76 billion from the federal Annual Development Programme (ADP) are expected to support the development plans. The non-development budget has been projected at Rs2 trillion.

Out of this, Rs400 billion will be directed towards 3,642 development projects. This includes Rs331 billion for 3,161 ongoing projects and Rs119 billion for 481 new schemes. After factoring in the funds carried forward from the current year, the total size of the Annual Development Programme (ADP) will reach Rs1,264 billion, compared to Rs1,165 billion this year. Full funding will be allocated to 1,350 of these projects.

Of the 27 projects supported by foreign donors, Rs366 billion is allocated—including Rs44 billion from the Sindh government. Meanwhile, the federal government will provide Rs76 billion for 10 joint projects.

Breakdown by Sector:

Education: Rs102 billion
Health: Rs45 billion
Irrigation: Rs83 billion
Local Governments: Rs132 billion
Works & Services: Rs143 billion
Energy: Rs36 billion
Agriculture & Livestock: Rs22 billion
Transport: Rs59 billion
Public Health Engineering: Rs24 billion
Culture, Tourism, Sports & Youth: Rs6 billion

An additional Rs160 billion is proposed for departmental development schemes across 10 departments, including home, agriculture, prisons, and energy.

The Works & Services Department may receive Rs80 billion for 675 schemes, including infrastructure in jails. The Home Department is likely to get Rs11 billion, Health Rs51 billion, and School Education Rs8 billion.

More allocations include: