Adviser to the Chief Minister on Finance Muhammad Ali Akhtar on Monday presented a three-month interim budget for the fiscal year 2026-27 in the Gilgit-Baltistan Assembly, saying the government had opted for an interim budget instead of a full-year financial plan due to ongoing negotiations with the federal government over resource allocation and wheat subsidy.
Presenting the budget, he said the interim arrangement was aimed at ensuring the uninterrupted functioning of government departments, continuation of public services and timely payment of salaries and allowances to government employees.
According to the budget documents, the total estimated resources available for Gilgit-Baltistan during FY2026-27 stand at Rs158.54 billion, an increase of around Rs12.23 billion compared to the previous fiscal year. A major portion of the budget depends on federal support, including a non-development grant of Rs 88 billion, while the region’s own non-tax revenue has been estimated at about Rs 6.08 billion.
The adviser said approval had been sought for Rs 20.478 billion to meet expenditure during the first quarter of the fiscal year, while Rs 15.225 billion had been earmarked for the payment of salaries and allowances of government employees.
He said Rs15 billion had been allocated for wheat subsidy to ensure the continued supply of subsidized wheat to the people, while wheat sales were expected to generate Rs3 billion in revenue. Efforts were also underway to secure additional financial support from the federal government for the subsidy.
Muhammad Ali Akhtar said the interim budget proposed an additional allocation of Rs 300 million for the Health Endowment Fund to facilitate treatment of deserving patients. It also earmarked Rs 25 million for tuberculosis eradication during the first quarter and Rs 100 million for the purchase of new ambulances.
He said Rs 138 million had been allocated for the Gilgit-Baltistan Waste Management Company and Rs 202 million for local government institutions to improve sanitation and municipal services across the region.
The adviser said Rs100 million had been proposed as the government’s contribution under the new pension policy, Rs200 million for group insurance and Rs250 million as seed money for the General Provident Fund. A special block allocation of Rs500 million had also been set aside to meet unforeseen emergencies and natural disasters.
He said the budget included Rs23 billion under the Annual Development Programme (ADP) and externally funded projects, while development projects worth Rs 16.97 billion would be executed under the Federal Public Sector Development Programme (PSDP). In addition, Rs 1.27 billion would be provided under the Prime Minister’s grant for the rehabilitation of flood-affected areas.
He expressed the hope that, following the conclusion of ongoing negotiations with the federal government, the Gilgit-Baltistan government would present a comprehensive budget for the remaining fiscal year.