Prime Minister Shehbaz Sharif has said that ensuring adequate resources for defence remains the government’s top priority, while also stressing the need for broader economic coordination with provinces and increased fiscal space to meet national challenges, including terrorism.
He made these remarks while chairing a meeting of the National Economic Council (NEC), which was attended by federal ministers and three provincial chief ministers. Punjab Chief Minister Maryam Nawaz attended the meeting via video link due to ill health.
During the session, the NEC approved the national development budget for the upcoming financial year. Officials also presented detailed briefings on provincial Annual Development Plans (ADPs), along with presentations on the Public Sector Development Programme (PSDP) for the next fiscal year 2026–27. The council further reviewed ongoing PSDP activities for the current financial year.
According to official sources, the meeting also examined the progress report of the Central Development Working Party (CDWP) from 1 April 2025 to 31 March 2026.
Reports regarding approvals of various development schemes by the ECNEC and the Executive Committee of the National Economic Council were also presented.
At the same time, the federal government is considering increasing the defence budget by Rs 334 billion, reflecting growing security requirements amid continued counter-terrorism operations, the private media channel reported.
The Prime Minister stated that the entire nation, particularly the people of Khyber Pakhtunkhwa and Balochistan, have rendered immense sacrifices in the fight against terrorism. He praised the armed forces for their continued efforts and emphasised the need for national unity to eliminate the threat of militancy.
He further revealed that he had recently spoken with the Managing Director of the International Monetary Fund (IMF), who appreciated Pakistan’s sincere efforts towards economic stability.
Highlighting the economic outlook, the Prime Minister said that different sectors of the economy must be incentivised to boost GDP growth and achieve sustainable stability.
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