GB proposes record Rs. 148 billion budget for FY 2025–26

The Gilgit-Baltistan (GB) government has presented a historic budget proposal of Rs. 148 billion for the fiscal year 2025–26, marking a significant increase in allocations for public sector salaries and development projects. Finance Minister Engineer Muhammad Ismail unveiled the budget in the Gilgit-Baltistan Assembly during a session presided over by Speaker Nazir Ahmad Advocate.

The budget includes a 10% salary increase for government employees, aiming to alleviate financial pressures amid rising inflation. A major highlight is the Rs. 22 billion earmarked for development projects, alongside Rs. 88.19 billion allocated for non-development expenditures. The government has projected a deficit of Rs. 6 billion, which will be managed through fiscal adjustments.

Key allocations in the budget include Rs. 20 billion for wheat subsidies to ensure food security, Rs. 11 billion for federal Public Sector Development Programme (PSDP) projects, and Rs. 4 billion under the Prime Minister’s Programme. Additionally, Rs. 600 million has been set aside for rural development initiatives to boost infrastructure in remote areas.

The education sector will receive Rs. 1.47 billion, while healthcare has been allocated Rs. 1.25 billion, including Rs. 620 million for the Health Endowment Fund. Other notable allocations include Rs. 350 million for agriculture, livestock, and fisheries, Rs. 90 million for tourism promotion, and Rs. 100 million for information technology development. The government has also set a non-tax revenue target of Rs. 7.89 billion to bolster its financial resources.

This budget reflects the government’s focus on balancing welfare measures with infrastructure development, aiming to address both immediate economic challenges and long-term growth in the region.

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