KARACHI: Chief Minister Syed Murad Ali Shah on Sunday robustly defended the proposed Rs3.65 trillion provincial budget for 2026–27, acknowledging that Sindh was financially constrained but had still presented a far-reaching fiscal plan. The defence came as the opposition leader sharply criticized the government for allocating funds for an IT Park linked to Punjab, questioning the wisdom of spending Sindh taxpayers’ money outside the province.
Winding up the budget debate in the Sindh Assembly, Murad said the province had maintained fiscal discipline despite a projected deficit of Rs344 billion, reduced federal transfers and additional expenditures of over Rs95 billion during the outgoing year. He said the government had focused on managing limited resources without compromising development priorities.
Murad told the House that nearly 100 major development projects were completed during the year, wheat self-sufficiency was achieved for the first time in Sindh’s history, and social protection programmes were expanded. He said investments in education, health and basic public services remained a core focus of the budget.
The chief minister announced an Annual Development Programme of Rs720 billion for 2026–27, including Rs206 billion for Karachi, and said more than 1,800 development schemes would be undertaken across the province with emphasis on infrastructure, energy and agriculture. He unveiled plans to develop Keti Bandar as a major economic and logistics hub through public-private partnerships, along with proposals for a Sindh International Financial Centre, a province-wide Green Energy Network and a new agricultural financing framework to support small farmers.
Murad said Sindh’s current expenditure increased by only 7.4 percent, which he described as lower than other provinces. Development spending was kept unchanged, while administrative expenses were reduced by more than Rs62 billion, including cuts at the Chief Minister House and Governor House. He said the education budget was raised by over 5 percent, health spending was increased, and Rs43 billion wheat subsidy helped the province achieve self-sufficiency. Sindh, he added, contributed Rs260 billion to the federal government for defence and retained additional funds under IMF-related requirements.
Rejecting opposition claims as misleading, Murad defended the provincial government’s record on finances, health care and Karachi’s development. He said quality medical facilities were not limited to Karachi and cited specialised treatment available in Gambat, Sukkur and Hyderabad. On Karachi, he criticised past federal development packages that were announced but not implemented, said the Manwar Underpass was nearing completion, and reiterated the government’s commitment to a wider Rs1.7 trillion development programme for the city.
Earlier, Leader of the Opposition Ali Khurshidi criticised the supplementary budget and questioned the allocation of Rs970 million for an IT Park project linked to Multan and Bahauddin Zakariya University, asking why Sindh’s funds were being used beyond provincial jurisdiction. He also demanded the release of the inquiry report on the Gul Plaza fire, called for lump-sum pension payments to retired local government employees, and criticised the proposed 7 percent salary increase for government staff, demanding higher raises for lower-grade employees.
Copyright Business Recorder, 2026
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