Federal Minister for Planning, Development and Special Initiatives, Professor Ahsan Iqbal, emphasized the critical need to prioritize and complete ongoing development projects amid severe fiscal constraints. Speaking at the Annual Plan Coordination Committee (APCC) meeting for the fiscal year 2026-27 budget, he highlighted that the country’s development budget remains significantly limited, posing a major challenge to national planning efforts.
Iqbal pointed out that the scarcity of funds has delayed the timely execution of key initiatives, creating a substantial backlog. He revealed that the federal development portfolio is burdened with an accumulated “throw-forward” cost estimated at around Rs10 trillion, representing the amount required to complete already approved projects.
Meanwhile, various federal ministries have requested nearly Rs4 trillion just to maintain ongoing projects in the upcoming fiscal year. The minister stressed that given the current fiscal space, it is impossible to finance all projects simultaneously.
In a significant development, Iqbal urged the government to concentrate on efficiently completing priority projects. This approach would allow these projects to be removed from the active development portfolio, thereby freeing resources for future initiatives.
Despite the fiscal challenges, the minister expressed optimism about Pakistan’s economic recovery, noting that the country has successfully moved onto a path of macroeconomic improvement. He assured that the government is committed to using effective development planning to convert these gains into tangible benefits for the general public.
Notably, Iqbal added that while the immediate focus is on optimizing resource allocation, there will be a need to substantially increase overall development spending in the long term to sustain economic growth and modernize infrastructure.
