Sindh Unveils Budget 2026-27: Minimum Wage Raised to Rs43,000, Salaries and Pensions Increased by 7%

KARACHI: Sindh Chief Minister Syed Murad Ali Shah on Tuesday presented the provincial budget for the fiscal year 2026-27 in the Sindh Assembly, announcing a 7 percent increase in government employees’ salaries and pensions, along with an increase in the minimum monthly wage from Rs40,000 to Rs43,000.

The budget session, chaired by Speaker Owais Qadir Shah, witnessed protests and sloganeering by opposition and MQM lawmakers during the chief minister’s speech. Opposition members demanded an opportunity to express their views on the budget, leading to a tense atmosphere in the assembly. The speaker urged members to either participate constructively or stage a walkout.

Presenting his 11th consecutive budget, Murad Ali Shah described the occasion as both an honor and a significant responsibility. He said the budget is based on four key principles: constitutional rights, fiscal sustainability, national stability, and public welfare.

The chief minister reaffirmed the provincial government’s commitment to the welfare of farmers, laborers, women, and youth. He stated that despite financial constraints, Sindh had continued to safeguard its constitutional rights and development priorities.

Murad Ali Shah paid tribute to Pakistan’s armed forces, describing them as guarantors of the country’s sovereignty and territorial integrity. He also pledged to continue expanding public welfare, development, and prosperity initiatives across the province.

Among the major announcements, the chief minister revealed plans to establish the Sindh International Financial Centre in Karachi, which he said would become a hub for Islamic and climate finance. He also announced the launch of the Sindh Green Data Infrastructure Initiative to attract global investment.

Highlighting development achievements, he said that under the Sindh Safe Cities Program, 1,325 smart cameras had been installed in Karachi. He added that 337 roads, 179 municipal projects, and 175 water supply and drainage schemes had been completed under the provincial development program.

Murad Ali Shah said one million houses had been completed under the Sindh Peoples Housing Program for victims of the 2022 floods, while land ownership rights had been granted to hundreds of thousands of women.

The provincial government has proposed a development budget exceeding Rs656 billion, including Rs641 billion for the Annual Development Program (ADP) and Rs15 billion for district development schemes. A total of 3,715 development projects have been included in the budget.

The chief minister announced that the agricultural super tax rate would be reduced from 10 percent to 8 percent. Social protection initiatives such as Kitchen Gardens, the Benazir Hari Card, and the Benazir Women Agriculture Workers Program will also continue.

For the next fiscal year, Sindh has allocated substantial funds to key sectors. Education received the highest allocation of Rs50.12 billion under the development program, while the health sector was allocated Rs38.89 billion. Local government and municipal infrastructure projects have been allocated Rs121.6 billion, transport and communications Rs39.5 billion, and agriculture and livestock development projects Rs6.3 billion.

The budget also proposes Rs4.9 billion specifically for agriculture-related development schemes, focusing on agricultural extension, mechanization, water management, research, and marketing.

For Karachi’s mega development projects, the government has proposed an allocation of Rs14.11 billion for 25 ongoing infrastructure schemes aimed at improving urban facilities and accelerating development work across the city.

Earlier, the Sindh Cabinet approved the budget during a meeting chaired by the chief minister. Murad Ali Shah said the budget had been designed to benefit all segments of society, with special measures included for poverty reduction on the directives of PPP Chairman Bilawal Bhutto Zardari.

He expressed confidence that the budget would help strengthen economic growth, create employment opportunities, and improve public services throughout Sindh.