ISLAMABAD: (Rizwan Abbasi) The federal government has approved a major financial and development package for Azad Jammu and Kashmir in the budget for the financial year 2026-27.
According to the budget documents, Finance Minister Senator Muhammad Aurangzeb has said that financial assistance of Rs 146 billion has been allocated for Azad Kashmir, while a total of Rs 49.26 billion has been allocated for PSDP, Prime Minister’s Special Package and various sectoral development projects.
The federal cabinet has approved a block allocation of Rs 33 billion for ongoing development projects of Azad Kashmir under PSDP, while another Rs 5 billion has been allocated for Prime Minister’s Special Development Package. Priority has been given to energy, health, education, road infrastructure and urban amenities projects in the budget.
In the education sector, plans have been included to establish Danish schools in four districts of Azad Kashmir: Bagh, Bhimber, Neelum and Haveli Kahuta. Rs 3 billion 781.7 million has been allocated for the four Danish school projects during the next financial year. Rs 514.5 million has been allocated for the Hari Gehal Bagh Danish School, Rs 600 million for the Bhimber Danish School, Rs 1 billion 558.2 million for the Sharda Neelum Danish School, and Rs 1 billion 108.9 million for the Haveli Kahuta Danish School.
In the energy sector, Rs 1 billion 149.4 million has been allocated for the 48 MW Jagran-II Hydropower Project, while about Rs 300 million has been allocated for the 40 MW Duarian Hydropower Project in Neelum District.
The budget has allocated Rs 1.47 billion 54 million for the construction of the Azad Kashmir Legislative Assembly Complex, Rs 884 million for the Rathua Haryam Bridge project and more than Rs 270 million for the Nausiri-Leswa Bypass Road project.
In the urban amenities sector, Rs 500 million has been allocated for the Mirpur Water Supply and Sewerage Scheme, while Rs 390 million has been allocated for the LoC Victims Rehabilitation Project.
In the health sector, Rs 430 million has been allocated for the Medical College Mirpur and more than Rs 150 million for the Mirwaiz Muhammad Farooq Shaheed Medical College Muzaffarabad.
Under new projects in the budget, Rs 944 million has been allocated for the provision of CT scan and MRI machines in the district headquarters and teaching hospitals of Azad Kashmir, while Rs 1 billion has been allocated for the improvement and strengthening of the electricity transmission and distribution system.
According to budget documents, record funds have been allocated to promote development activities, create employment opportunities, and provide basic amenities in Azad Kashmir, which is expected to lead to progress on several education, health, energy, and infrastructure projects.
