Pakistan proposes Rs3 trillion defence budget for 2026-27
- By Laiq Ur Rehman -
- Jun 12, 2026
ISLAMABAD: The federal government has proposed allocating Rs3 trillion for the Pakistan defence budget in Budget 2026-27, reflecting an increase of nearly 18 percent compared to the revised allocation of Rs2.595 trillion for the outgoing fiscal year, ARY News reported.
According to budget documents presented in the National Assembly, the proposed Pakistan defence budget is aimed at meeting the country’s growing security requirements amid the prevailing regional situation. The allocation accounts for nearly 15 percent of the total federal budget.
The government had initially allocated Rs2.55 trillion for defence during FY2025-26, which was later revised upward to Rs2.595 trillion. The proposed allocation for the next fiscal year is approximately Rs405 billion higher than the revised figure.
Allocation for Armed Forces
- Pakistan Army: Rs1.284 trillion (FY2025-26: Rs1.184 trillion)
- Pakistan Air Force: Rs573 billion (FY2025-26: Rs520 billion)
- Pakistan Navy: Rs293 billion (FY2025-26: Rs273 billion)
The overall allocation shows an increase of around Rs405 billion compared to revised estimates for the current fiscal year.
Budget documents further reveal that the government has proposed Rs822 billion for military pensions in FY2026-27, compared to Rs742 billion allocated during the outgoing fiscal year.
Employee-related expenditures under budget 2026-27 are estimated at Rs967 billion, compared to a revised allocation of Rs851 billion for the current fiscal year. Operational expenditures have been proposed at Rs743 billion, up from the revised estimate of Rs721 billion.
Administrative expenses are projected at Rs10.9 billion for the upcoming fiscal year. During FY2025-26, administrative expenditures were initially budgeted at Rs7.95 billion before being revised upward to Rs11.74 billion.
According to the budget documents, the government has prioritised defence and security requirements while keeping development spending under pressure. The Pakistan defence budget covers operational expenditures of the armed forces, including salaries, allowances and other expenses related to military personnel and defence operations.