ISLAMABAD: The Federal Minister for Planning, Development, and Special Initiatives, Professor Ahsan Iqbal, announced that the highest share of federal development funds has been allocated to Balochistan, while Punjab has received the lowest.
He noted that the provinces have reached a consensus regarding the Public Sector Development Programme (PSDP) allocations.
In his statement, the minister detailed that a development budget of Rs 265 billion has been designated for Balochistan, whereas Rs 150 billion has been set aside for infrastructure and development projects in Sindh.
Ahsan Iqbal emphasized that if additional financial resources were available, the government would prioritize funding the mega Diamer-Bhasha Dam project.
He reiterated that advancing the socioeconomic development of Gilgit-Baltistan (GB) and Balochistan remains the federal government’s absolute priority.
The minister concluded by asserting that achieving the goals of the “Uran Pakistan Vision” depends heavily on fostering inter-provincial harmony and building collective political consensus.
The Public Sector Development Programme (PSDP) serves as the primary federal mechanism to finance critical socio-economic infrastructure, balance regional disparities, and stimulate national economic growth.
For geographically vast yet infrastructure-deficient territories like Balochistan, alongside the strategically vital regions of Gilgit-Baltistan (GB) and Azad Jammu and Kashmir (AJK), federal PSDP allocations are fundamental lifelines. Because GB and AJK sit outside the formal National Finance Commission (NFC) award mechanism, they rely directly on federal straight-transfers to fund provincial-level development.
Historically, these peripheries have suffered from a persistent infrastructure deficit, compounding local grievances.
In response, recent fiscal strategies focus on massive connectivity and water management projects.
In Balochistan, specific capital injections are channeled toward the dualization of strategic trade routes—such as the N-25 highway connecting Karachi to Chaman—and expanding the operational capacity of the Gwadar deep-sea port.
Similarly, funding in GB and AJK targets clean energy infrastructure, climate-resilient tourism, and cross-border trade corridors.
However, translating these hefty multi-billion rupee allocations into tangible progress remains a significant administrative challenge.
Execution is frequently hindered by acute fiscal space constraints, inflationary shocks, security vulnerabilities, and bureaucratic bottlenecks.
To overcome these hurdles and ensure long-term regional stability, the Ministry of Planning is actively prioritizing the swift completion of advanced, ongoing high-impact initiatives over introducing unapproved new schemes. This targeted strategy aims to deliver immediate socioeconomic relief directly to the local populations.
