Federal cabinet to meet tomorrow for final approval of Budget 2025-26

Islamabad: A special session of the federal cabinet has been convened for tomorrow at 4 PM at Parliament House to approve the federal budget for fiscal year 2025–26.

During the meeting, the cabinet will review and approve key budget proposals and the Finance Bill, which will then be presented to the National Assembly.

According to sources, a 10% salary increase is proposed for government employees. Pensions may be raised by 5% to 7.5%. While the defence budget is expected to see an 18% hike.

Following federal approval, provincial governments will present their respective budgets, officially marking the start of Pakistan’s new fiscal strategy for 2025–26.