KARACHI: The Sindh government has allocated more than Rs156 billion in grants to local councils during the current financial year, alongside targeted funding for municipal services, infrastructure development and civic improvements across the province.
According to budget documents presented in the Sindh Assembly, the government said effective local government institutions remain essential for delivering basic municipal services and improving citizens’ quality of life.
Special emphasis has been placed on strengthening the Karachi Metropolitan Corporation (KMC), the principal municipal body serving Pakistan’s largest city.
According to the budget statement, the provincial government provided approximately Rs13 billion in financial support to KMC to improve municipal services and infrastructure development.
The government also highlighted the financial empowerment of local councils through the transfer of property tax collection and utilization powers. More than Rs2 billion is being collected annually through property tax, which will be utilized for local development and uplift projects.
Under the current financial year, the government allocated Rs156.2 billion in grants to local councils against a total allocation of Rs165 billion, in addition to recurring annual Octroi and Zila Tax (OZT) grants.
Karachi received several targeted allocations, including:
Rs200 million for cleaning storm-water drains and nullahs.
Rs1.5 billion for maintenance and repair (M&R) works across the city.
Rs300 million for pre-monsoon cleaning of storm-water drainage systems in Karachi Division.
Rs100 million for preparations related to the 35th National Games.
The government also announced the restoration of the historic Empress Market, describing the project as part of efforts to preserve Karachi’s architectural heritage and cultural identity.
Elsewhere, Rs206.8 million was allocated to the Local Government Board for the clearance of pension liabilities of its employees, while Rs700 million was earmarked for development activities in Ghotki district.
The Sindh government said the allocations reflect its commitment to strengthening local government institutions, improving municipal service delivery and supporting development projects across urban and rural areas of the province.
Copyright Business Recorder, 2026
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