ISLAMABAD: The Finance Division has proposed an allocation of Rs 3.407 billion for six projects under the Public Sector Development Programme (PSDP) for 2026–27, representing a more than four times increase from the Rs 851.580 million allocated in the current fiscal year.
Official documents reveal that the PSDP portfolio of the Finance Division carries a total approved cost of Rs38.351 billion, with cumulative expenditure reaching Rs24.679 billion so far. Against an allocation of Rs851.580 million for fiscal year 2025-26, releases up to the third quarter stand at Rs551.9 million.
Finance Division proposed an amount of Rs3.407 billion for six ongoing projects aimed at key reform and financial inclusion initiatives as the government pushes ahead with digitising public financial management and expanding access to finance.
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Among flagship initiatives, the Implementation of Online Billing Solution (Sehal) project — a core component of public financial management reforms — has a total approved cost of Rs1.742 billion. Spending has reached Rs1.288 billion up to June 30, 2025. While Rs50 million was allocated in 2025-26 and Rs30 million released up to Q3, the Finance Division has now proposed Rs387 million for 2026-27 to fast-track completion and nationwide rollout.
The Women Inclusive Finance initiative — one of the largest programmes aimed at expanding financial access — carries a massive total cost of Rs31.413 billion, with Rs20 billion already spent.
Despite an allocation of Rs100 million in 2025-26, no funds were released up to Q3. For 2026-27, the division has proposed Rs447 million to scale up digital onboarding, credit access and financial inclusion for women.
Another major reform project, “Implementation & Mainstreaming of Audit Management Information System (AMIS),” has a total cost of Rs1.003 billion, with Rs834.842 million spent to date. An allocation of Rs164.580 million was made for 2025-26, with Rs98.749 million released. For 2026-27, Rs113.088 million has been proposed.
The “Capacity Building of Finance Division for Implementation of PFM Policy in Federal Government” project, costing Rs213.906 million in total, has incurred Rs120.574 million so far. For the ongoing fiscal year, Rs57 million has been allocated, with Rs40.656 million released.
The development spending on institutional modernisation is also set to accelerate. The “Modernization & Upgradation of Pakistan Mint (Phase-II-A), Lahore” project — with a total cost of Rs2.479 billion — has seen cumulative expenditure of Rs961.815 million. Against an allocation of Rs150 million in 2025-26, Rs52.5 million has been released. A hefty Rs1.464 billion has now been proposed for 2026-27.
The Pakistan Audit & Accounts Academy (PAAA), Islamabad project, with a total cost of Rs 1.5 billion, is nearing completion, having already spent Rs 1.473 billion. For 2025-26, Rs330 million was allocated and fully released, while Rs995.65 million has been proposed for 2026-27.
Copyright Business Recorder, 2026