The Punjab government has given the green light to a 10 percent raise in the salaries of government employees and a 5 percent increase in pensions for retired workers for the fiscal year 2025–26.
In a major push for development, the government has boosted the development budget by 47.2 percent, setting aside Rs1,240 billion for various projects.
Additionally, Rs171.7 billion has been allocated specifically for projects supported by foreign funding.
The government also reported a 5.9 percent increase in overall ongoing expenses, with the total volume of these expenditures now standing at Rs2,026.7 billion.
On the other hand, there has been a 5.8 percent cut in service delivery spending, which is now set at Rs679.8 billion.
A notable highlight of the budget is the increased focus on education. The allocation for this sector has been raised to Rs811.8 billion, reflecting a 21.2 percent increase and signaling the province’s commitment to improving learning opportunities and educational infrastructure.