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Budget 2026: Proposals to increase salaries of government employees under consideration, final decision pending

Awais Afzal (Business Staff Reporter) by Awais Afzal (Business Staff Reporter)
May 3, 2026
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The Ministry of Finance of Pakistan has started reviewing various proposals related to the possible increase in salaries and benefits of government employees during the preparations for the budget of the next fiscal year, but no final decision or official announcement has been made in this regard yet.

According to sources, the government is considering measures to provide relief to the salaried class, keeping in mind the rising inflation, increase in electricity and gas bills and pressure on daily expenses. In this regard, options such as a possible increase in salaries and provision of additional facilities are under consideration.

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Officials say that recommendations are likely to be sought from various government departments so that feasible and balanced proposals can be included in the budget. These measures are aimed at reducing the financial burden, especially on low-income employees.

According to economists, if the government increases salaries and pensions, it will directly benefit thousands of government employees and retirees, but this decision will depend on the government’s fiscal capacity and revenue targets.

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