Govt to Hold Crucial Pre-Budget Meeting Tomorrow

The budget process enters a crucial phase as the Annual Plan Coordination Committee (APCC) is scheduled to meet tomorrow (June 2) to finalize key economic targets and development allocations for the upcoming fiscal year. Planning Minister Ahsan Iqbal will chair the APCC meeting, which will be attended by representatives from federal ministries, the four provinces, Gilgit-Baltistan, and Azad Jammu & Kashmir. According to sources, the APCC is likely to propose a GDP growth target of 4.2 percent and set the inflation target at 7 percent for FY2025-26. A federal development outlay of Rs. 1,035 billion is expected to be approved. The proposed allocations include Rs. 170 billion for the Ministry of Communications and Rs. 140 billion for water-related projects such as dams and canals. The Power Division is likely to receive Rs. 105 billion, while Rs. 50 billion may be earmarked for the Higher Education Commission. Decisions taken at the APCC will be submitted for final approval at the National Economic Council (NEC) meeting, scheduled for June 6. The NEC will ratify macroeconomic targets and the overall development framework for the next fiscal year.