Pakistan Budget 2025–26: Questions Everyone Is Asking Right Now
CURRENT EVENTS
Kiran Sardar
6/11/20256 min read
The Pakistan Budget 2025–26 is here, and many people are asking, “How will this new budget affect daily life in Pakistan?”
From monthly expenses to government salary increases, everyone wants to know what changes to expect. This year’s federal budget of Pakistan 2025–26 comes with higher defense spending, expected price hikes, and new tax rules in Pakistan.
People are also searching about the impact of the IMF on Pakistan’s economy, the budget breakdown in simple words, and whether petrol prices in Pakistan will rise again. The middle-class budget concerns are growing as daily costs stay high. Will there be relief for salaried people in Pakistan?
Is there any real support for small businesses in Pakistan? In this blog, we’ll answer the most frequently asked questions about the new budget. Whether you’re a student, employee, or business owner, this guide will help you understand what’s really going on with the Pakistan 2025–26 budget.
Where Is the Money Going in the Pakistan Budget 2025–26?
The government has shared the Pakistan federal budget for 2025–26, and it’s a big one, Rs. 18.9 trillion! But many people are asking, “Where is all this money being spent?”
Let’s break it down in easy words:
Rs. 2.1 trillion is set aside for defense spending in Pakistan.
Rs. 1.4 trillion will go to development projects like roads, energy, and infrastructure.
The rest will be used for government salaries, pensions, utility subsidies, and daily operations of the government.
Now, people are asking important questions like:
Why is defense spending so high in Pakistan?
What about education in Pakistan’s budget?
Is there enough funding for healthcare and job creation?
These are reasonable concerns of common people. Especially when inflation is rising and daily expenses are tough for the average person.
Why Has Defense Spending Increased in the 2025–26 Budget?
In the new Pakistan Budget 2025–26, defense spending has increased by about 20% compared to last year. This shows that the government is focused on national security and stability.
A stronger defense means better protection for the country. Specifically, when a country is going through uncertain times. Many experts believe this increase is important to keep our borders safe and support our armed forces, who work day and night to protect us.
At the same time, people are also talking about the need for balance. They hope that schools, hospitals, and job programs will continue to get more attention and funding in the future. These are important for building a stronger and more educated Pakistan.
This topic is being discussed in Parliament and on social media, and it’s good to see people getting involved. It shows that citizens care about how the budget is spent. That shows a positive step toward a more informed society.
Did the IMF Influence This Year’s Budget?
Yes, many experts believe that the International Monetary Fund (IMF) played a strong role in shaping the Pakistan Budget 2025–26.
Here’s how the IMF may have influenced the budget:
The IMF has asked Pakistan to reduce subsidies, especially on electricity and fuel.
The government is planning to increase taxes on certain businesses and sectors.
These changes are part of the IMF’s loan conditions to help stabilize Pakistan’s economy and reduce debt.
While these steps may feel tough right now, the goal is to strengthen Pakistan’s financial system in the long run. The government hopes that by following IMF guidelines, it can attract more international support, bring economic stability, and reduce dependency on loans in the future.
Still, many people are asking: Will these changes bring relief or more challenges for the common citizen?
How Will the Budget Affect the Middle Class and Working Families?
This is one of the most talked-about questions right now.
On the one hand, the government has taken some positive steps:
The minimum wage is proposed to increase to PKR 37,000.
A 10% salary increase is suggested for government employees.
But here’s where the concern comes in:
Inflation is expected to stay around 4.2%. And we all know that real-life inflation. The prices of groceries, electricity, fuel, and gas will increase.
So people are asking a valid question:
Will a 10% raise really help if essentials become more expensive every month?
For many middle-class families, their salary may go up slightly, but their monthly expenses could rise even more. This creates pressure, especially when school fees, medical bills, and transport costs keep increasing.
In short, while the budget tries to offer relief, its real impact will depend on how the government handles price control, subsidies, and economic reforms in the coming months.
Are the Growth and Inflation Targets Realistic?
The government says Pakistan’s economy will grow by 4.2% in the next year. They also hope to keep inflation under control. These targets sound great on paper. But many experts are not fully confident.
Why? Because:
The agriculture sector in Pakistan is still facing big challenges.
Industries are suffering from high electricity prices and regular load shedding.
Small businesses in Pakistan are struggling with rising costs and low demand.
In simple words, the goals are ambitious. But without fixing these core problems, it will be hard to reach them. For real economic growth, Pakistan needs stable energy, support for farmers, and strong small business policies.
Until then, the growth and inflation targets may remain just hopeful numbers, not everyday reality.
What Happened to Education, Healthcare, and Development Projects?
Many Pakistanis are concerned about how the Pakistan Budget 2025–26 handles public welfare. People were hoping for a bigger push toward education, healthcare, and development projects, but that didn’t happen.
Education in Pakistan didn’t get a major increase in funds. Schools, teachers, and students still face old challenges.
Healthcare funding in Pakistan also stayed limited, even though many hospitals and clinics need serious upgrades.
In some areas, public development projects have been cut or delayed, which affects roads, water supply, and housing schemes.
This has led to a common question:
Why is there less focus on services that directly improve daily life?
People want to see a balanced budget. A budget that invests in the future of its people. This debate is sparking strong conversations across Pakistan.
What Is the Opposition Saying About the 2025–26 Budget?
The opposition parties in Pakistan are raising serious concerns about the Pakistan Budget 2025–26. They claim the budget is “elite-driven,” meaning it helps the wealthy more than the poor and middle class.
Leaders are also saying:
The budget is heavily influenced by the IMF, not designed with people’s needs in mind.
It fails to address key issues like rising unemployment, growing inflation, and poor education standards in Pakistan.
On social media, many people are calling it a “budget of survival, not progress.” They feel it focuses more on numbers than real-life problems.
The opposition is urging the government to rethink its priorities and create a plan that supports ordinary families, students, and small businesses in Pakistan.
Is This Budget for Reform or Just a Short-Term Fix?
This is the question many Pakistanis are asking right now. The Pakistan Budget 2025–26 has some good steps, but it also leaves room for concern. On the positive side, the government is trying to raise salaries and the minimum wage. It’s also taking steps to cut the budget deficit and collect more taxes, which are important for long-term financial stability.
But on the negative side, education and healthcare in Pakistan didn’t get the attention they needed. Many experts feel the IMF-backed reforms might put extra pressure on small businesses and working families.
So, is this a reform budget? Some say no. It feels more like a short-term fix to survive the current crisis, rather than a full plan to build a better future for Pakistan.
Final Thoughts on the Pakistan Budget 2025–26
The Pakistan Budget 2025–26 impacts every citizen. Whether you're a student, a parent, a business owner, or a government employee, this budget will affect your daily life.
It is important to stay informed about the federal budget of Pakistan. We should ask the right questions and hold our leaders accountable for how money is being spent.
People care about better schools, affordable electricity, more job opportunities, and a strong economy for the future. These are the real issues that matter.
Let’s keep the conversation going. When we talk, share, and speak up, we can help push for the right priorities in Pakistan’s budget planning.
Popular Questions (FAQs) About Pakistan Budget 2025–26
Q: What is the total size of Pakistan's 2025–26 federal budget?
A: The total budget is Rs. 18.9 trillion (PKR).
Q: How much money is allocated to defense in the new budget?
A: Rs. 2.1 trillion has been allocated for defense spending, showing a 20% increase from last year.
Q: Did the IMF influence the 2025–26 budget?
A: Yes, many decisions, like reducing subsidies and increasing taxes, are part of the IMF loan conditions for Pakistan.
Q: Will government employee salaries increase in this budget?
A: A 10% salary increase for government employees has been proposed in the Pakistan Budget 2025–26.
Q: What is the inflation target for the year 2025–26?
A: The government has set an inflation target of around 4.2% for the next fiscal year.