Government to Increase BISP Payments to Rs19,500 from January 2027, Expand Beneficiaries

Pakistan — The government has decided to increase financial assistance under the Benazir Income Support Programme, raising the quarterly payment from **Rs14,500 to Rs19,500** starting January 2027.

According to sources, the number of beneficiary families will also expand, with an additional **200,000 households** to be included by the end of fiscal year 2026. This will bring the total number of beneficiaries to approximately **10.2 million families** nationwide.

Officials from the Ministry of Finance indicated that the move aligns with broader fiscal adjustments linked to commitments with the International Monetary Fund. The IMF has urged Pakistan to avoid blanket subsidies on petroleum products, prompting the government to direct provinces to provide **targeted subsidies** for vulnerable groups from their own budgets.

Petroleum prices will continue to reflect global market trends, while the government has reportedly collected an additional **Rs3.5 billion** in petroleum levy in the past month. Fuel consumption across the country has also increased by approximately **24%**.

To support the agricultural sector, the government has decided not to impose **Federal Excise Duty (FED)** on fertilizers in the upcoming fiscal year, aiming to provide relief to farmers.

The increase in BISP payments and expansion of coverage are part of efforts to strengthen social protection and provide financial relief to low-income households amid ongoing economic challenges.