Finance Minister Aurangzeb to present Federal Budget 2026-27 today

Islamabad (Web Desk): The federal government is set to present the Annual Budget 2026-27 in the National Assembly on Friday, with an estimated outlay of nearly Rs17.5 trillion.

Finance Minister Senator Muhammad Aurangzeb will present the budget during a session of the lower house scheduled to commence at 3pm.

Ahead of the presentation, the federal cabinet will meet at Parliament House at 2:30pm to give its formal approval to the proposed budgetary framework.

During the meeting, the finance minister will brief cabinet members on the main components of the budget before it is officially introduced in parliament.

According to official sources, the authorities are likely to set a tax collection target of Rs15.267 trillion for the next financial year as part of efforts to strengthen revenue generation.

Debt repayments will continue to consume the largest share of federal spending, with debt servicing estimated at Rs7.824 trillion. Defence expenditure is also expected to remain substantial, with allocations projected at approximately Rs3 trillion.

The government is reviewing a number of relief measures for citizens, including a potential increase in salaries and pensions for public-sector employees. At the same time, officials are considering plans to raise Rs1.727 trillion through the petroleum levy during the upcoming fiscal year.

On the trade front, policymakers are expected to fix the country's export target at $32.8 billion, while imports are forecast to reach $70 billion.

Sources indicated that the upcoming budget is unlikely to feature any major new development initiatives. Instead, priority will be given to completing projects that are already under implementation.

As per the reports, the government may abolish the tax exemptions currently available to the former Federally Administered Tribal Areas (FATA), a move being examined as part of broader efforts to boost revenues.

The budget is being presented amid heightened public and economic expectations, as the government seeks to maintain a balance between fiscal management, revenue enhancement and measures aimed at providing relief to citizens in the next financial year.

The presentation marks the beginning of parliamentary proceedings on the new fiscal plan, which will outline the government’s financial priorities and economic strategy for the coming year.