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tax-free budget

Sindh presents tax-free budget for 2026-27

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Sindh presents

KARACHI: Sindh Chief Minister Murad Ali Shah on Wednesday presented the province’s budget for the 2026-27 fiscal year, announcing a 7% increase in salaries and pensions for government employees, raising the minimum monthly wage to Rs43,000 and introducing a range of development and social welfare initiatives.

Presenting the budget in the Sindh Assembly, Shah said the government would merge the ad hoc relief allowances granted in 2022 and 2025 into employees’ pay scales. He also announced that the minimum wage would be increased from Rs40,000 to Rs43,000 per month.

The chief minister said no new taxes had been imposed in the budget, which aims to provide relief to citizens and the business community. The government also decided not to introduce any new development schemes in the upcoming fiscal year, while proposing Rs2.56 trillion for non-development expenditures.

Education remained a key priority, with Rs601 billion allocated to the sector. The government also reduced sales tax on educational support services to 5%.

Shah announced plans to establish the Sindh International Financial Center in Karachi, describing it as a platform for infrastructure financing, Islamic finance and climate finance.

He said Sindh had agreed to arrangements worth Rs260 billion under Article 160 of the Constitution in support of national stability while safeguarding the province’s constitutional rights and development priorities under the NFC Award.

The budget also introduced a subsidized solar financing program for middle-income households. Shah said Rs18 billion would be spent to distribute 275,000 free solar home systems, adding that free solar units had already been provided to low-income families.

Among other initiatives, the chief minister announced the launch of the Sindh Green Data Infrastructure Initiative and a waste-to-value program aimed at converting waste into fuel and commercial products.

The government also plans special legislation to support small farmers by improving access to machinery, financing, insurance and modern technology.

In the health sector, Shah said services at major institutions, including National Institute of Cardiovascular Diseases, Sindh Institute of Cardiovascular Diseases, Sindh Institute of Urology and Transplantation and Jinnah Postgraduate Medical Centre would be expanded. He added that the 1123 telemedicine service and 1122 ambulance network would be further strengthened.

Shah highlighted the completion of the Rs60.7 billion Shahrah-e-Bhutto project, describing it as a major public convenience initiative.

He also reiterated plans to transform Keti Bandar into a global maritime, logistics, industrial and energy hub linked to the Dhabeji Special Economic Zone and Thar coal resources, with the goal of making it Pakistan’s next major economic gateway.

Balochistan unveils tax-free Rs1.089 trillion budget, announces 7% pay raise

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Balochistan unveils

QUETTA: The Balochistan government presented a Rs1.089 trillion tax-free budget for the 2026-27 fiscal year, announcing a 7% increase in salaries and pensions for provincial employees while prioritizing education, health and law and order.

Finance Minister Mir Shoaib Nosherwani presented the budget in the provincial assembly, saying no new taxes had been imposed. The budget includes a 7% raise in salaries and pensions and outlines significant allocations for public services, development projects and employment generation.

The minister said Rs270 billion has been earmarked for general public services, Rs157 billion for education, Rs74 billion for health and Rs108 billion for maintaining law and order. The government has also allocated Rs10 billion for the establishment of the Bank of Balochistan.

According to the budget documents, non-development expenditures are estimated at Rs798 billion, while the province expects to receive Rs30.61 billion in federal grants. An allocation of Rs5 billion has been made for Phase II of Safe City projects.

Nosherwani announced the creation of 5,000 new jobs for young people, including 3,000 positions in the school education sector, 500 in the health department, 1,000 for newly created districts and 500 in various government departments.

The budget also allocates Rs1 billion for the Kissan Card program aimed at supporting farmers. In addition, sales tax on public transport has been abolished, while new electric vehicles have been granted a 100% tax exemption.

The finance minister said the government had sought to reduce official privileges amid challenging economic conditions, adding that education, healthcare and security remain the administration’s top priorities.

“We are moving in the right direction for the development of the province, and government initiatives are not just on paper but are producing tangible results,” Nosherwani told the assembly.