The Punjab government has proposed a Rs5.903 trillion budget for FY2026–27, focusing on education, health, infrastructure, industrial growth, and digital governance alongside austerity and revenue expansion measures.

Education receives the largest share at Rs750 billion, with continuation of merit scholarships and distribution of over 100,000 laptops. Health is allocated Rs500.62 billion, while Rs507 billion is set aside for clean water, sanitation, and urban development projects.

Development priorities include Rs1.24 trillion under the Annual Development Programme, with major spending on transport, urban services, and industrial infrastructure. The government also plans to introduce 2,000 electric buses with an allocation of Rs168 billion.

On the economic side, the budget targets industrial expansion through investment incentives, SEZ reforms, and a revised land lease policy aimed at attracting private capital and boosting exports. Key sectors such as garments, leather, pharmaceuticals, and sports goods have been assigned targeted support packages expected to generate jobs and increase export earnings.

The province projects Rs4.39 trillion in federal transfers and Rs1.209 trillion in own-source revenue, with a Rs910 billion surplus estimated under fiscal discipline aligned with IMF requirements. Salary and pension increases of 7% and 3.5% respectively are also proposed.

Officials describe the budget as a growth-oriented plan combining social spending, industrial policy reforms, and digital transformation to drive employment and investment across Punjab.