ISLAMABAD: The government has decided to cut the development budget by up to Rs 100 billion, according to official sources.
Sources said the Ministry of Finance has directed the Ministry of Planning, Development and Special Initiatives to reduce development expenditures in view of financial constraints.
Following the directive, the Planning Ministry has started working on proposals to cut funds for various development projects, sources added.
According to details, from July to February of the current fiscal year 2025-26, the Planning Ministry has so far released Rs 403 billion for development schemes.
It is pertinent to mention that the government had allocated Rs 1 trillion for development projects in the current budget.
However, the latest move indicates a significant downward revision in spending amid ongoing fiscal challenges.
Further decisions regarding which projects will face cuts are expected in the coming days.
