Islamabad, January 9, 2025 – The Government of Pakistan has officially announced the timelines for presenting the federal budget for the fiscal year 2025-26. The Finance Division has issued a detailed budget circular outlining the roadmap for preparing and approving the upcoming budget, which is scheduled to be presented in the first week of June 2025.
Budget Preparation Roadmap
The process of formulating the federal budget of Pakistan involves several key steps to ensure compliance with the Public Finance Management Act, 2019, and effective planning. The timeline includes:
1. Budget Call Circular Issuance: Departments will receive directives outlining requirements for the fiscal year 2025-26.
2. Proposal Submission: Principal Accounting Officers will submit budget proposals, encompassing both current and development expenditures.
3. Demand Review Committee Meetings: Budget estimates and demands will be scrutinized for alignment with national priorities.
4. Budget Strategy Paper (BSP): A crucial document, detailing fiscal policies for 2025-28, will be prepared and approved by the Cabinet by April 18, 2025.
5. Indicative Budget Ceilings (IBCs): Finance Division will issue IBCs for current and development budgets by April 21, 2025, with further details for development projects issued by the Planning Division on April 25, 2025.
Key Milestones Ahead
• Annual Plan Coordination Committee (APCC) Meetings: These will be conducted by the Planning Division in the first week of May 2025 to finalize development priorities.
• Budget Object/NIS Submission: Departments will submit their forms for development budgets by the second week of May 2025.
• Cabinet and Parliamentary Approvals: Following review, the budget will be presented to the Cabinet and subsequently to the National Assembly for approval, culminating in presidential assent.
Economic Focus and Planning
The federal budget is a cornerstone of Pakistan fiscal planning, aimed at balancing development priorities with economic stability. This year’s timeline reflects the government’s commitment to transparency and efficiency in the budgetary process.
The Finance Division of Pakistan emphasized that these steps are designed to ensure a smooth, inclusive, and accountable budget process, addressing the country’s developmental needs and fiscal challenges. Stakeholders are encouraged to adhere strictly to the timelines for seamless execution.