Pakistan’s health sector is set to receive a significant boost under the proposed Federal Budget 2026-27, with the Ministry of Health recommending billions of rupees for healthcare services, medical research, and development projects. The proposed allocations reflect the government’s efforts to strengthen public health infrastructure and improve access to quality healthcare.
According to budget proposals submitted by the health authorities, the National Health Services Regulations and Coordination Division has been allocated a proposed budget of Rs22 billion for the upcoming fiscal year. The funding is intended to support various federal healthcare programs and initiatives across the country.
The proposed budget includes a combination of local and foreign funding sources. Officials have recommended allocating Rs1.3 billion through foreign assistance and core funding mechanisms, while Rs20.7 billion is expected to come from domestic resources.
Under the Public Sector Development Programme (PSDP), a total of Rs24.3 billion has been proposed for the Health and Nutrition sector. This marks a notable increase compared to the original allocation of Rs16.5 billion in FY 2025-26, which was later reduced to Rs14 billion after budget revisions.
Budget documents also suggest allocating 2.2 percent of the total social sector development budget, valued at Rs187.2 billion, specifically to health-related projects. Experts believe the increased funding could help improve healthcare delivery, disease prevention programs, and medical research initiatives.
Among the key projects proposed for the next fiscal year is enhanced funding for cardiovascular research. The National Institute of Heart Diseases is expected to receive Rs1.5 billion under the NEPCARD project, aimed at supporting research, prevention, and awareness programs related to heart disease.
Additionally, Rs1 billion has been proposed for the expansion and modernization of the Armed Forces Institute of Cardiology and NIHD in Rawalpindi. The budget also includes symbolic funding for Phase One of a proposed Medical City project being developed by the National University of Medical Sciences in Islamabad, which is expected to become a major hub for healthcare, education, and medical research in the future.
