Khyber Pakhtunkhwa Yet to Decide Between Full-Year and Three-Month Budget for FY2026-27

PESHAWAR:The Khyber Pakhtunkhwa government has yet to make a final decision on whether to present a full-year budget or a three-month interim budget for the fiscal year 2026-27, according to official sources.

Government officials said that the Finance Department has prepared two separate budget proposals. One is a complete annual budget exceeding Rs2.2 trillion, while the other is a three-month budget with an estimated size of more than Rs300 billion.

Sources revealed that no formal instructions have yet been issued by Sohail Afridi directing the Finance Department to present a three-month budget.

Officials said that the full-year budget includes an allocation of more than Rs500 billion for the Annual Development Programme (ADP), aimed at funding development projects across the province.

However, if the provincial government opts for the three-month budget, only ongoing expenditures and non-development spending would be approved during that period. No funds would be released for new development projects until a full budget is adopted.

According to government sources, the interim budget option is being kept ready as a contingency measure while political consultations continue.

The issue gained attention after Salman Akram Raja stated on Tuesday that a final budget would not be presented until party founder Imran Khan is consulted. He indicated that the Khyber Pakhtunkhwa government may seek approval only for a three-month budget framework in the meantime.

The provincial administration is expected to make a final decision in the coming days as preparations for the new fiscal year continue.