Punjab budget to write new history of public service: Minister Mujtaba

LAHORE, Jun 16 (APP): Punjab Finance Minister Mujtaba Shuja-ur-Rehman has said that the third budget of provincial government led by Chief Minister Maryam Nawaz Sharif is writing a new history of public service.

In his budget speech on the floor of Punjab Assembly here Tuesday, he mentioned that present government is not just presenting a budget for the fiscal year 2026-27, but rendering an account of the fulfillment of last year’s promises.

Mian Mujatab informed the house that Punjab government has introduced comprehensive reforms through Smart Governance to bring financial stability. The Cash Management Fund was increased from Rs. 800 billion to Rs. 1,200 billion in the fiscal year 2026-27, which will help the province earn additional profits.

During the fiscal year 2026-27, E-Payment would be made mandatory for property tax. Licensed motor vehicle dealers in Punjab have been designated as Withholding Agents so that any vehicle purchased can only be registered within Punjab, allowing relevant tax revenues to be collected directly by the government. Similarly, banks have been appointed as Collecting Agents to deduct provincial sales tax via Debit and Credit Cards. This would ensure immediate and transparent tax collection, which will not only guarantee Fiscal Discipline but also provide additional resources for the public’s social development and welfare projects.

To protect the public from financial burdens, Chief Minister Maryam Nawaz Sharif decided to collect property tax on a quarterly basis instead of applying a Late Payment Surcharge monthly. Under the Self Assessment Scheme for property tax, a 5 percent exemption is being provided to expand the tax net. To promote eco-friendly transport, the token tax exemption on Electric vehicles has been increased from 95 percent to 99 percent. For transparency and convenience in the agricultural tax system, a Fixed Tax Structure is being introduced. Cotton Fee has been completely abolished, which will directly benefit farmers and the textile sector.

With a population of approximately 130 million, Punjab accounts for 55.7 percent of the national GDP and its per capita income stands at 1,904 dollars, which is 47 percent higher compared to last three years.

For the Economic Transformation of Punjab, the government has devised a multi-dimensional economic plan named Punjab Innovation for Value, Opportunity and Transformation (PIVOT). This institution is a comprehensive roadmap toward driving development led by the private sector, ranging from low-value economies to high-value production, access to local markets, and public-private partnership capital investment. This three-year economic transformation plan comprises a total investment of approximately Rs. 1,995 billion, which includes Rs. 1,090 billion of public capital investment, while Rs. 905 billion will be acquired through private sector partnerships. Under this plan, during the next three fiscal years, approximately Rs. 1,188 billion will be invested in industry, Rs. 586 billion in agriculture, Rs. 230 billion in livestock, Rs. 642 billion in tourism, and Rs. 190 billion in Aqua Farming. To teach skills, Rs. 186 billion will be invested in IT and technology. As a result of this program, an additional export value of 680 million dollars is expected, along with the creation of 162,000 new jobs and over 850,000 skilled workers.

To promote foreign investment and establish a business-friendly province, the Global Investment & Gateway of Punjab has been established. To promote industry in Punjab’s official Industrial Estates, a Land Lease Policy has been introduced so that industrialists are assured of protection.

The Punjab Finance Minister said, today, public services are being delivered directly to the doorsteps of the citizens of Punjab through a Rs. 40 billion Ramadan Nighaban Package, and digital initiatives like Dastak, E-Biz, E-Pay, and E-Pads. Under the Dastak programme, the services of government offices have been extended to the doorsteps of over 2.9 million citizens. Through E-Biz, 320 government services have been digitized, enabling more than 81,000 businesses to benefit. Over 500,000 individuals have utilized E-Pay to pay 88 types of government taxes and fees from the comfort of their homes. Transparent government procurement is being carried out across Punjab through E-Pads.

He said, Punjab has become the first province to establish a dedicated department for comprehensive institutional reforms of scattered and dysfunctional entities, asserting that restructuring laws, authorities, agencies, and departments have been achieved in record time. Chief Minister Maryam Nawaz Sharif has also launched the Economic Transformation of Punjab strategy with the objective to achieve economic self-reliance by increasing own revenue sources.

Through the rightsizing of departments, he said, more than 100,000 redundant and non-essential posts were abolished, reducing the burden on the provincial treasury, while over 400,000 youth were provided jobs on merit. Along with the establishment of new institutions, the administrative framework was reformed for better public service. A few details of these measures are presented below:

The Suthra Punjab Authority has been established to clear garbage and waste from every city and village of Punjab, while Water and Sanitation Agencies have been formed at the district level to ensure water supply and drainage. To make Punjab beautiful, a Horticulture Authority and 11 new agencies have also been established.

The Office of Artificial Intelligence has been set up to promote the use of modern technology in the government sector.

To improve performance and delivery, an Enhancing Delivery and Government Efficiency Wing (EDGE) has been formed for Attached Departments, autonomous bodies, and Public Sector Companies.

The Punjab Financial Advisory Services (PFAS) has been laid down as a foundation to provide advisory services to government institutions.

The Punjab Life Insurance Company has been established for the health facility insurance program of government employees, while the General Insurance Company has been approved for insuring provincial assets, infrastructure, and energy projects.

To leverage private sector investment and monitor administrative performance, the Punjab Public Private Partnership Authority and the CM Inspection Team (CMIT) have been further strengthened.

To boost the economy of Punjab by increasing the production of fisheries, shrimp farming, and aquaculture, the Aquaculture and Fisheries Department has been created to benefit from the digital economy and IT sector.

Departments like the Skills Development and Innovation Department and the Entrepreneurship Department have been operationalized to create a skilled workforce and foster innovation.

To fulfill Chief Minister Maryam Nawaz Sharif’s dream of a safe Punjab, the Crime Control Department (CCD) has been established.

The Punjab Spatial Planning & Standardization Authority has been founded for better urban planning and optimal land use in Punjab.

Decisions have also been made to enhance the capacity of the PDMA to better cope with natural disasters.

To increase provincial revenues and widen the tax net, the jurisdiction of the Punjab Revenue Authority has been extended across all 36 districts of Punjab. Along with tax law reforms, manpower has also been increased.

All these initiatives are milestones in Punjab’s journey toward exemplary development, prosperity, and good governance.

Pakistan Muslim League (N) has always pulled the nation out of the most difficult and seemingly impossible-to-reform conditions through hard work and honesty. “We have reached this point after navigating through devastating floods, political chaos, the threat of default, and the global economic crises arising from the wars imposed by India,” he mentioned.

While the Iran-US war put global peace at stake and inflation shook the foundations of the global economy, he said, Punjab government took timely measures to protect the public from inflation and made financial discipline and austerity the fundamental pillar of its policy besides reducing the government expenditures, imposing a ban on Board Meeting Fees, and online meetings were promoted to avoid all unnecessary expenses, and in this context, major steps included a 25 percent salary cut for the Chief Minister, provincial ministers, special assistants, and parliamentary secretaries for two months. Along with cuts on perks and fuel, he said, a 60 percent cap on the use of official vehicles was enforced. All these measures resulted in a total saving of Rs. 9.78 billion, which benefited 47.4 million people.

In order to provide cheap petrol and diesel to the public, he said, the Punjab government provided Rs. 25.87 billion to federal government.

During the year 2025, due to heavy rains and simultaneous floods in three rivers, 27 districts of Punjab were affected and the Chief Minister went into the field to aid and rehabilitate the flood-affected people by adopting the largest rescue and relief operation worth Rs. 79.78 billion that was acknowledged not only in Pakistan but also by international organizations. Essential items like clean drinking water, medicines, food, temporary shelter, and other necessities of life were ensured for the affected families. While direct financial assistance of Rs. 50 billion was provided to 2.1 million individuals.

In addition, he said, the government initiated a long-term plan under which the PDMA was restructured on modern lines, expanding it down to the tehsil level. Comprehensive mapping of flood-affected areas, irrigation systems, and drainage aspects was carried out through modern methods, and priority was given to building Flood Resilient Infrastructure.