KP Assembly passes FY2026-27 budget

PESHAWAR: The Khyber Pakhtunkhwa Assembly passed the annual provincial budget for the fiscal year 2026–27, with a total outlay of Rs 2. 17 trillion. Finance and Law Minister Aftab Alam moved the motion for the budget’s approval and the passage of all 66 demands for grants for the expenditure of the provincial departments. During the debate on the demands for grants, criticized the performance of the departments and particularly the department of Planning & Development. Speaking in favour of her demand for grant of Rs. 1. 55 billion, Sobia Shahid of PML-N took on the Planning and Development Department. She said that the construction of Cadet College was approved in 2008, but it was never materialized. Similarly, she said that the project of the Engineering University is also still awaited. She said that in the fiscal budget 2026-27, the government has allocated a small amount of Rs. 23073 schools. Jamila Paracha, Amna Sardar, Sardar Shah Jehan, Reshad Khan of PML-N and Mohammad Idrees Khan of PTI were also critical of the performance of provincial departments. The opposition and treasury legislators however later withdrew their cut motions at the government’s request. Following this, Speaker Babar Saleem Swati used his guillotine powers and all demands for grants of all departments one by one. The Leader of Opposition Dr. Ibadullah objected to the proceedings, saying that the opposition had not been consulted and that the budget had been “bulldozed through” by using special powers. The budget is an important document on which all members have the right to hold detailed discussions, and that ignoring the cut motions was equivalent to depriving elected representatives of their rights. He added that it is the Speaker’s responsibility to protect the rights of the House and that the procedure adopted was inappropriate. In response, Speaker Babar Saleem Swati said that the special powers were exercised with mutual consultations and offered to continue the debate and opportunity to members express their views during the supplementary budget discussions. Dr Ibadullah also complained that the government had not given the opposition any share in development resources, even though the province belongs not only to PTI but to all political parties collectively. He said that the opposition has always stood with the government on matters concerning the province’s interests, but the government tends to ignore the opposition once its needs have been fulfilled. In his winding up speech Chief Minister Muhammad Sohail Khan Afridi, appreciated all members of the provincial assembly, Advisor on finance, relevant departments for preparing the 2026–27 budget. The Chief Minister said that province own revenue was Rs. 66 billion in 2024, increased to 93 billion rupees in the government’s first year, and now surged to Rs 129 billion. He added that a target of 182 billion rupees has been set for the fiscal year 2026-27. He called for release of all outstanding shares of KP under the National Finance Commission (NFC). The Chief Minister announced special development packages for Peshawar, Hazara, Mardan, tribal districts, and the southern districts, stating that all districts of the province would receive their fair share without discrimination. Copyright Business Recorder, 2026

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