The Punjab government is expected to announce a 7 percent increase in salaries and pensions for government employees and retirees in the upcoming Budget 2026-27, according to official sources.
Sources said the proposed increase is in line with the salary and pension adjustments recently approved by the federal government. The announcement is likely to be made during the presentation of the provincial budget for the next fiscal year.
If approved, the revised pay and pension structure will come into effect from the start of the new financial year, providing financial relief to millions of public sector employees and pensioners across Punjab.
Officials said the budget will also include allocations for development projects, operational expenditures, and welfare initiatives aimed at improving support for government employees.
In addition, the provincial budget is expected to outline Punjab’s broader economic strategy, focusing on infrastructure development, better public services, and administrative reforms.
The proposed salary and pension increase comes as governments across the country face growing demands to provide relief against rising living costs while maintaining fiscal discipline.
Final decisions regarding the increase are expected to be confirmed during the official budget announcement.
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