Balochistan Presents Rs1.089 Trillion Surplus Budget for FY 2026-27, Announces 5,000 New Jobs and 7% Salary Increase
QUETTA: The Balochistan government has presented a surplus, tax-free budget worth Rs1.089 trillion for the fiscal year 2026-27, announcing a 7% increase in salaries and pensions along with the creation of 5,000 new government jobs.
The budget was presented in the provincial assembly session chaired by Speaker Abdul Khaliq Achakzai, while Finance Minister Mir Shuaib Nosherwani laid the financial proposals before the House.
According to budget documents, total provincial expenditures for the upcoming fiscal year are estimated at Rs1,089 billion, including Rs797.8 billion in non-development spending and Rs291.5 billion in development expenditures. The development portfolio includes Rs106 billion for new schemes and Rs100 billion for ongoing projects.
The government said the budget is expected to remain in surplus, with projected revenue of Rs1,019 billion. Federal transfers are estimated at Rs834 billion, while the province’s share from the NFC award stands at over Rs771 billion. Own-source revenue is projected at Rs170 billion.
Education and Health Prioritised
Education has received the largest allocation at Rs160 billion, followed by health at Rs85 billion. Law and order has been allocated Rs107.9 billion, while economic affairs and housing sectors have also received substantial funding.
Job Creation and Public Welfare Measures
The government announced 5,000 new job opportunities for youth, including 3,000 in the education sector, 500 in health, 1,000 in newly created districts, and 500 across other departments.
Key social welfare initiatives include Rs3.1 billion for the Public Endowment Fund, Rs2.8 billion for the Balochistan Education Support Fund, Rs1.5 billion for the Health Card programme, Rs1.7 billion for digital skills development under “Digibizz,” and Rs2 billion for low-cost housing projects. Additionally, Rs200 million has been allocated for 500 electric wheelchairs.
Tax-Free Budget and Relief Measures
Finance Minister Nosherwani stated that the budget is tax-free with no new taxes imposed. He announced tax exemptions on public transport, zero sales tax on educational services, and full tax relief on new electric vehicles. Taxes on public property insurance have been abolished, while stamp duty and capital value tax on property transfers have been reduced from 2% to 1%.
He further said that investment incentives include tax exemptions in export processing zones for foreign investors.
Key Development Initiatives
Major initiatives include the establishment of Bolan Insurance Company, Bank of Balochistan with Rs10 billion allocation, and Balochistan Aviation Company with Rs3 billion. Funds have also been allocated for solarisation of agricultural tube wells, mineral sector development, and expansion of energy projects.
The government also announced interest-free microfinance loans worth Rs1 billion, expanded transport services including Green and Pink Bus feeder routes, People’s Train Service, and electric buses.
Sector-Wise Allocations
Significant allocations include Rs157 billion for education, Rs73 billion for health, Rs81 billion for economic affairs, Rs55 billion for housing, Rs40 billion for communications, Rs27 billion for development works, and Rs12 billion for irrigation.
Conclusion
The finance minister said the budget focuses on education, health, water supply, security, and development projects, describing it as a surplus and people-friendly financial plan aimed at improving public welfare and economic stability in the province.
