Gilgit-Baltistan announced a Rs1.486 trillion budget for 2025–26, focusing on health, education, and infrastructure.
Provincial Finance Minister Engineer Muhammad Ismail presented the Rs 1.486 trillion budget for Gilgit-Baltistan (GB) for the fiscal year 2025–26 in the GB Assembly. The budget anticipates a deficit of Rs 6 billion. It allocates Rs 881.92 billion for non-development expenditures, Rs 370 billion for development projects, and Rs 11 billion for federal Public Sector Development Program (PSDP) initiatives. An additional Rs 4 billion is designated to support federal projects by the Prime Minister. Key proposals include:
- Wheat Subsidy: Rs200 billion to address food security
- Salary Increase: 10% hike for government employees to counter inflation
- Non-Tax Revenue: Targeted at Rs78.92 billion.
- Sectoral Investments: Rs14.7 billion for education, Rs12.5 billion for health (including Rs6.2 billion for the Health Endowment Fund), Rs3.5 billion for agriculture, Rs900 million for tourism, and Rs1 billion for IT.
Minister Ismail prioritised health and education reforms, institutional development, and infrastructure expansion. The budget increases union councils through border adjustments to enhance local governance. However, opposition lawmakers boycotted the session, protesting budget proposals. Rescue 1122 personnel protested outside the assembly, demanding reinstatement of 2017 stipends and increased police ration allowance from Rs1,500 to Rs2,000.
GB’s reliance on federal grants and limited local revenue poses economic challenges. The Rs200 billion wheat subsidy aims to mitigate food costs, but austerity measures, including bans on new vehicle purchases and overseas travel, reflect fiscal constraints. The budget session, chaired by Speaker Nazir Ahmed, continues amid debates.
