Govt authorises Rs412.29bn in PSDP funds in first four months of FY27
The federal government authorised Rs412.294 billion in development funds from July to October 2026, against a Rs1 trillion PSDP allocation. Spending in the period stood at Rs103.876 billion.
- Rs412.294 billion authorised under the PSDP in July-October 2026
- Total PSDP allocation for 2026-27 is Rs1 trillion
- Development expenditure was Rs103.876 billion in the four months
- Water Resources Division had the highest authorisation among ministries at Rs90.804 billion
The federal government has authorised development funds of Rs412.294 billion under the Public Sector Development Programme (PSDP) in the first four months of fiscal year 2026-27, from July to October. The total PSDP allocation for the year is Rs1 trillion.
The figures come from the latest data of the Ministry of Planning, Development and Special Initiatives, released on Tuesday. The allocation is made up of Rs682.485 billion for federal ministries, Rs312.515 billion for corporations, Rs4 billion for project liabilities and Rs1 billion for new initiatives under CPEC 2.0.
Development expenditure stood at Rs103.876 billion during July-October 2026.
Among federal ministries, the Water Resources Division had the highest authorisation at Rs90.804 billion, against an allocation of Rs103.086 billion. It has spent Rs18.726 billion. The Cabinet Division, allocated Rs64.080 billion, was authorised Rs60.378 billion and spent Rs59.99 million.
The National Highway Authority was allocated Rs224.515 billion, including Rs59.250 billion in foreign assistance. It received authorisation of Rs78.580 billion and spent Rs13.296 billion in the four months. The Provinces and Special Areas were allocated Rs233.386 billion, with Rs59.796 billion authorised and Rs23.808 billion spent.
In education, the Higher Education Commission was allocated Rs46 billion, with Rs13.800 billion authorised and Rs4.715 billion spent. The Federal Education and Professional Training Division was allocated Rs36.312 billion, with Rs12.709 billion authorised and Rs6.877 billion spent.
The Railways Division was allocated Rs40.658 billion, with Rs14.230 billion authorised and Rs4.655 billion spent. The National Health Services Division was allocated Rs16.065 billion, with Rs9.639 billion authorised and Rs6.609 billion spent. The Information Technology and Telecommunication Division was allocated Rs19.580 billion, including Rs9.801 billion in foreign assistance, with Rs5.874 billion authorised and Rs1.450 billion spent.
Smaller allocations include the Interior Division at Rs21.825 billion (Rs6.547 billion authorised, Rs714.21 million spent), the Housing and Works Division at Rs16.395 billion (Rs1.918 billion authorised, Rs422.90 million spent) and the Defence Division at Rs10.903 billion (Rs2.816 billion authorised, Rs462.10 million spent).
Background
khabr.pk reported on 11 November that the federal government spent Rs103.87 billion, about 10.4 percent, of its Rs1 trillion development budget from July to October 2026, and that most of the allocation for ministries, corporations and provinces remained unused.
Why it matters for Pakistan
Development funds decide which roads, schools and water projects get built in local areas. The National Highway Authority has spent Rs13.296 billion of its Rs224.515 billion allocation, and the Water Resources Division has spent Rs18.726 billion of Rs103.086 billion. Education bodies such as the Higher Education Commission have spent Rs4.715 billion of Rs46 billion. The gap between authorisation and spending shows how much of the year's Rs1 trillion programme is still to be used.
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