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KP budget in limbo amid PTI inta-party rift تازترین

June 12, 2025

The Khyber Pakhtunkhwa government is set to present the budget for the fiscal year 2025–26, but internal divisions within Pakistan Tehreek-e-Insaf (PTI) have cast a shadow of uncertainty over the process. Reports indicated that a dissident faction within PTI, along with several other lawmakers, was prepared to boycott the budget session. Former provincial minister Shakeel Khan told  that if the budget is tabled without consultation with the PTI founder, Imran Khan, it would be rejected by him and others.

He expressed concerns that the budget may have been drafted under IMF pressure and without input from the party’s senior leadership.According to party insiders, the Imran Khan had directed that senior figures such as Adviser on Finance, former finance minister Taimur Saleem Jhagra, Atif Khan, and Junaid Akbar be consulted during budget formulation. However, these leaders were reportedly sidelined, prompting strong reactions from several assembly members.

Sources also revealed that due to these internal disputes, the budget’s approval in the provincial assembly is now at risk. While the budget has been prepared without consultation with the Imran Khan, discontented members have agreed to obstruct its passage. Many legislators remain uncertain whether the budget should be tabled at all without the party founder’s approval.The proposed allocation includes Rs195 billion for the Provincial Annual Development Programme (ADP), Rs45 billion for local governments, and Rs33 billion for the merged districts' ADP.

Additionally, Rs50 billion will be earmarked for the Accelerated Implementation Programme (AIP), Rs175 billion for foreign project assistance, and Rs29 billion under the federal Public Sector Development Programme (PSDP). KP Chief Minister Ali Amin Gandapur announced that the upcoming provincial budget will be tax-free, with no new taxes imposed on the public.In a statement, Gandapur said that budget planning was done in consultation with former prime minister and PTI founder Imran Khan. He affirmed that KP has not taken any new loans and has allocated Rs150 billion for debt repayment.

Credit: Independent News Pakistan (INP)