The federal government is preparing to significantly increase development spending in Gilgit-Baltistan as part of the Budget 2026-27. According to budget documents, authorities have proposed higher allocations to support infrastructure, energy, and public welfare projects across the region.
The proposed development budget for Gilgit-Baltistan is expected to increase by 27.32% compared to the revised development budget of the current fiscal year. When compared with the original allocation for the ongoing year, the increase stands at 5.26%, reflecting the government’s continued focus on regional development.
Budget documents indicate that more than Rs39 billion has been proposed for Gilgit-Baltistan’s development programs in the upcoming fiscal year. In contrast, the revised development allocation for the current year stands at Rs30.67 billion.
During the ongoing fiscal year, Gilgit-Baltistan was allocated Rs37.10 billion for development projects. For the next fiscal year, the government has proposed Rs23 billion under the Block Allocation and Annual Development Programme (ADP), while an additional Rs4 billion has been earmarked under the Prime Minister’s Special Package.
Several major energy projects have also been included in the proposed budget. The government plans to allocate Rs2.20 billion for the construction of the 16-megawatt Naltar Hydropower Project. Additionally, Rs1 billion has been proposed for the establishment of a regional power grid to improve electricity distribution across the region.
The budget proposal further includes Rs1.71 billion for solar power projects at various locations, aiming to expand access to renewable energy. These investments are expected to strengthen the region’s energy infrastructure and support sustainable development initiatives.
Apart from energy projects, funds have also been proposed for drainage systems, road development, water supply schemes, and hospital construction projects. These initiatives are intended to improve public services, enhance living standards, and accelerate economic growth in Gilgit-Baltistan during the next fiscal year.