The Khyber Pakhtunkhwa (KP) government has finalized a development budget of Rs177.52 billion for the upcoming fiscal year to fund 50 major projects in collaboration with international donor agencies.
According to documents from the KP Department of Planning and Development, the World Bank and the Asian Development Bank will be the leading contributors.
This marks a significant increase from the current fiscal year’s allocation of Rs112.14 billion in foreign-funded development projects, reflecting a growing focus on infrastructure, energy, health, and education.
The key proposed allocations include, KP Road Accessibility Project – Rs28.10 billion, KP Rural Roads Development Project – Rs22.40 billion, KP Cities Improvement Project – Rs18.20 billion, Balakot Hydropower Project – Rs11.20 billion, Integrated Tourism Development – Rs8.40 billion, Irrigation and Drainage Rehabilitation – Rs7 billion, Madyan Hydropower Project – Rs7 billion, National Health Support Program – Rs6.44 billion, Human Capital Investment (Health) – Rs5.88 billion, Human Capital Investment (Education) – Rs5.04 billion and Non-DHQ Hospital Revamping – Rs5.60 billion.
The other notable allocations include, Gabral-Kalam Hydropower Project – Rs5.60 billion, KP Rural Investment Program – Rs4.20 billion, FATA Infrastructure Program – Rs3.92 billion, Rural Economic Transformation Project – Rs3.92 billion and Food Security Support Project – Rs3.08 billion. The budget 2025-26 is expected to enhance infrastructure, promote sustainable energy, and uplift public services across the province. With major backing from international development partners, the initiative would to play a crucial role in the province’s long-term economic growth and stability.