KPK govt may raise salaries by 10%

According to media reports, the Khyber Pakhtunkhwa (KPK) government is likely to raise salaries by 10 percent and pensions by 7 percent in the upcoming budget.

The Khyber Pakhtunkhwa government is set to present its budget for the fiscal year 2025-26 on June 13, with a total outlay of Rs2070 billion. According to sources, Rs1352 billion will be allocated for ongoing expenditures. Out of this, Rs680 billion will go towards salaries and Rs200 billion towards pensions The KP government expects to receive Rs1148 billion under the National Finance Commission (NFC) award, which will help fund various sectors, including public services and development projects.

Following recent budget decisions at the federal level, KP is also likely to align its salary and pension plans with national announcements. Earlier, the federal government proposed a 10 percent increase in salaries for federal employees from Grade-1 to Grade-22. A 7 percent pension raise for retired federal employees has also been approved for the upcoming fiscal year.

In the same spirit, Punjab Chief Minister Maryam Nawaz Sharif has approved a similar increase for provincial government employees. Her administration confirmed a 10 percent salary hike and a 7 percent raise in pensions for retired employees in Punjab’s 2025-26 budget. The decision to raise pay and pensions aims to offer relief to public sector workers amid rising inflation and economic challenges. With budget presentations approaching, other provinces may follow the same trend, providing uniform financial benefits for government employees across Pakistan.

The budget will also focus on education, health, and development sectors, with more detailed allocations expected to be announced during the official budget session.