ISLAMABAD : The meeting of the National Economic Council (NEC), the country’s highest constitutional forum for economic planning, has been postponed once again, adding to uncertainty surrounding the federal budget for fiscal year 2026-27.
According to sources, the NEC meeting will now be held on Wednesday and is expected to approve the budget and key development spending proposals before they are presented to parliament. The federal budget, which was originally expected earlier this month and later scheduled for June 10, is now likely to be presented on June 12.
The latest delay comes after the NEC’s earlier meeting, chaired by Prime Minister Shehbaz Sharif, was postponed amid continued consultations on the budget framework and development priorities for the upcoming fiscal year. The government has been working to finalise spending allocations and secure consensus on major economic measures ahead of the budget announcement.
The NEC is responsible for approving federal and provincial development programmes before the annual budget is unveiled. During its deliberations, the council is expected to review a combined federal and provincial development outlay of Rs4.715 trillion for FY2026-27.
The council is also expected to consider an increase of approximately Rs200 billion in the federal Public Sector Development Programme (PSDP), raising the proposed allocation from Rs1.126 trillion to around Rs1.326 trillion. The increase reflects the government’s focus on financing infrastructure and development projects despite ongoing fiscal constraints.
Discussions over the budget date and development spending plans have been ongoing since early June. On June 2, sources indicated that the government was considering revising the budget presentation schedule while consultations continued on the fiscal plan and expenditure priorities.
The NEC meeting is expected to be attended by the chief ministers of all four provinces, provincial finance ministers and the prime minister of Azad Jammu and Kashmir, who will review and approve development allocations before the budget is formally presented.