Sindh Budget 2026-27: 7% Salary Hike, 5% Pension Increase Proposed

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Karachi, Pakistan – Web Desk: The Sindh government has finalized proposals regarding salary and pension increases for government employees in the upcoming fiscal year’s budget, with the provincial cabinet approving a 7 percent salary hike and a 5 percent pension increase .

According to sources, the proposals were discussed during the cabinet meeting chaired by Chief Minister Syed Murad Ali Shah . The cabinet was informed that the provincial government is currently facing financial constraints, which limited the scope for larger increases .

Salary and Pension Proposals

Initial efforts were made to propose a minimum 10 percent salary increase for government employees; however, this proved unfeasible due to the province’s current fiscal situation, sources said . The proposed increases mirror the federal government’s recent decision, which announced a 7 percent salary hike for its employees .

Some cabinet members advocated for a higher increase for lower-grade employees, arguing that the lower-income workforce requires greater relief . The cabinet was informed that the Sindh government would implement the same salary and pension increases as the federal government .

The Chief Minister will make the final announcement regarding the increases during his budget speech , which he presented at 2:00 PM on Wednesday in the Sindh Assembly .

Budget Approval and Key Initiatives

The cabinet formally approved the provincial budget for fiscal year 2026-27, with Murad Ali Shah stating that the budget takes care of every segment of society . The cabinet praised the Chief Minister’s efforts in executing record development projects during the fiscal year 2025-26 .

Murad Ali Shah reaffirmed his commitment to continuing public service under the leadership of the Pakistan Peoples Party (PPP), with special initiatives for poverty alleviation following the directives of PPP Chairman Bilawal Bhutto Zardari. A significant decision regarding the minimum wage for the working class has also been incorporated into the new budget .

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