ISLAMABAD: Prime Minister Shehbaz Sharif has announced that a mutually agreed final decision on a peace agreement between the United States (US) and Iran has been reached, ARY News reported.In a statement posted on social media platform X, the prime minister said Pakistan is now working with both sides to finalise the next steps of the agreement process.“Peace has never been closer than it is now,” he said, expressing optimism over the ongoing diplomatic efforts.Shehbaz Sharif also said Pakistan is aware of attempts to sabotage the peace agreement through misinformation campaigns and remains vigilant against such efforts amid its mediation role.https://www.youtube.com/watch?v=DQjt6PlZpDwEarlier, Iranian Foreign Minister Abbas Araghchi posted on X that the “Islamabad Memorandum of Understanding has never been closer.”He said the agreement had reached its closest point to finalisation and urged the media to refrain from speculation regarding its contents until completion.He added that all details would be shared with the public under a responsible and transparent approach once finalised.The statement was later shared by US President Donald Trump on his social media platform. Iran war 2026 – LIVE UPDATES    

The government of Pakistan has allocated Rs. 103.1 billion for water sector projects in the federal budget 2026-27, while critical water supply projects remain underfunded despite growing nationwide scarcity.Among the major allocations, the government reserved Rs. 10 billion for Karachi’s crucial K-IV water supply project, though the amount falls short for a metropolitan city of over 25 million people currently grappling with a severe water crisis.It is to be mentioned that the K-IV water projects have a revised estimated cost of Rs 170 billion. The long-delayed project is designed to supply 260 million gallons per day (MGD) of water to Karachi.Other key allocations within the water sector include Rs. 14 billion for the Diamer Basha Dam, Rs. 22 billion for the Dasu Dam, and Rs. 15 billion for the Dasu Hydropower Project as part of the Budget 2026-27.In comparison, social safety nets and housing initiatives received substantially higher funding in Budget 2026-27, with Rs. 909 billion collectively allocated for major government schemes, including the Prime Minister’s "Apna Ghar Program" low-cost housing finance initiative and the Benazir Income Support Program (BISP).Additionally, the federal government allocated Rs. 6.6 billion for the trade and industry sector, a move officials justified as a necessary step toward making domestic industries self-sustainable.

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. Pakistan unveils Rs18.7 trillion federal budget for 2026-27

ISLAMABAD: Finance Minister Muhammad Aurangzeb has announced major reforms for the Federal Board of Revenue (FBR), the country's tax collection body, in the newly presented budget, ARY News reported.To eliminate discretionary powers within the FBR, the Finance Minister announced the establishment of a National Faceless Tax Center.Under this centralized system, direct contact between taxpayers and tax officers during audits and assessments will be completely removed.The identities of both the taxpayer and the tax officer will be kept hidden using single-blind and double-blind masking protocols.As part of these reforms, tax officers will no longer have the authority to manually select cases or target specific taxpayers.Instead, an automated system will allocate cases based on automated risk scores. If a discrepancy is detected, the system will automatically generate and issue a settlement offer.The audit or case file will then be closed once the taxpayer clears the required amount.Read More: Budget 2026-27: No relief for  low-income class, education and health underfund Additionally, the government has already begun compiling comprehensive risk profiles for taxpayers by centralizing data on property ownership, vehicle registrations, banking transactions, and utility records.

The Federal Budget 2026-27 offered little comfort to those most affected by the current skyrocketing inflation in Pakistan, which affects the lower and middle classes most. Despite promises of relief, low-income salaried workers have been largely ignored. Meanwhile, spending on essential sectors such as health and education remains excessively low.There is no tax relief announced for low-income salaried individuals. However, tax relief has been announced for higher-income salary brackets.Presenting the Federal Budget 2026-27 in the National Assembly of Pakistan, Minister for Finance, Muhammad Aurangzeb, has announced immense relief for the salaried class earning between Rs. 2.2 million to Rs. 7 million annually.The tax relief rate ranges from 20 percent to 32 percent, depending on the income slab.The Federal Finance Minister has also announced that the government is abolishing the long-standing surcharge imposed on salaried taxpayers.He noted that the surcharge had been reduced from 10 percent to 9 percent in the previous budget and would now be removed completely.On the other hand, the Minister for Finance of Pakistan has announced a token increase of 10 percent in the minimum wage, which is around Rs. 3,000 to Rs. 4,000 per month as part of the Budget 2026-27.In addition, the government has also announced a seven percent increase in salaries and pensions of government employees.In the federal Budget 2026-27, Rs. 94.3 billion has been earmarked for higher education, the Danish Schools Program, and the school and college education sector, including the early childhood training program.In comparison, Rs. 838 billion has been allocated to the charity-based Benazir Income Support Program (BISP) alone.Meanwhile, only Rs. 25.1 billion has been allocated for the health sector in the Budget 2026-27.Education and Health once again neglected, low-income class dreams yet to become reality

KARACHI/ISLAMABAD: Meta-owned social media platforms suffered an unknown glitch on Friday evening, rendering the desktop versions of WhatsApp, Instagram, and Facebook inaccessible, ARY News reported. Users attempting to log in via their desktop browsers reported widespread outages, though mobile applications appeared to be functioning normally for some. The cause of the technical disruption remains unclear, and Meta has yet to issue an official statement regarding when full services will be restored.

ISLAMABAD: The government has given some sort of relief to current and former government employees, announcing a seven percent increase in salaries and pensions in the budget for 2026-2027, ARY News reported.Salaries and Pensions Addressing the National Assembly on the occasion of presenting the budget for the next financial year, Federal Minister for Finance Muhammad Aurangzeb announced that the government is increasing the salaries of government employees by seven percent, while the same percentage will be raised for retired employees' pensions.Minimum Wage On the other hand, the government has also announced an uptick in the minimum wage for labor by 10 percent in the next year's budget.Rs 3000 to Rs 4000 increased The government has raised the minimum wage by Rs 3,000, bringing it to Rs 40,000. (Note: Assuming the original "Rs 3000 to Rs 4000" meant a 10% raise on Pakistan's previous minimum wage of Rs 37,000, making the new wage Rs 40,000).https://youtu.be/rg7ANDRAlGs?si=pq2bRpHv7UUNLTK1The finance minister started his speech by paying tribute to the armed forces of Pakistan, who defeated a much larger enemy in May 2025 and the civil and military leadership’s efforts, which took Pakistan to an elevated status in international diplomacy during the ongoing Iran war where both the US and Iran showed their trust in Pakistan’s mediation efforts.Read More: Budget 2026-27: Income tax slabs for salaried class explainedHe maintained that the closure of the Strait of Hormuz and the subsequent rise in oil prices affected Pakistan’s economy like all other countries, but the country’s government did not pass the burden directly to the people. Aurangzeb promised that the government will bring down petroleum product prices once the oil price drops in the international market.

ISLAMABAD: In the Budget 2026-27 presented in the National Assembly, Finance Minister Muhammad Aurangzeb announced significant relief measures for the salaried class, including a major reduction in income tax rates across multiple income slabs, ARY News reported.The government of Pakistan said the revised structure has been introduced to provide relief to taxpayers amid persistent inflationary pressures and rising cost of living. Revised Income Tax Slabs for Salaried Class (Budget 2026-27) Rs 2.2 million – 3.2 million annual income: Tax reduced from 23 percent to 20 percent Rs 3.2 million – 4.1 million annual income: Tax reduced from 30percent to 25 percent Rs 4.1 million – 5.6 million annual income: Tax reduced from 35 percent to 29 percent Rs 5.6 million – 7.0 million annual income: Tax reduced from 35 percent to 32 percent Officials said the revised tax slabs are part of a broader fiscal adjustment strategy aimed at easing pressure on the salaried class, which has been among the most affected segments due to inflation and rising utility costs.The changes are expected to increase disposable income for middle-income earners, while also improving tax compliance through a more rationalized structure.The announcement was made during the federal budget presentation in the National Assembly. LIVE: Pakistan Budget 2026-27 Being Presented in National Assembly

ISLAMABAD: Pakistan Finance Minister Muhammad Aurangzeb presented the budget for financial year 2026-27 with a total outlay Rs18.7 trillion in National Assembly on Friday.The finance minister started his speech by paying tribute to armed forces of Pakistan who defeated a much larger enemy in May 2025 and the civil and military's leadership's efforts which took Pakistan to an elevated status in international diplomacy during the ongoing Iran war where both the US and Iran showed their trust in Pakistan's mediation efforts.He maintained the the closure of Strait of Hormuz and the subsequent rise in oil prices affected Pakistan's economy like all other countries but the country's government did not pass the burden directly to the people. Aurangzeb promised that the government will bring down petroleum products prices once the oil price drops in international market. MAJOR POINTS FROM HIS SPEECH Total outlay 18.77 trillion rupees Remittances have seen a huge rise reaching 38billion dollar in 11 months. Recent months have seen rise in inflation but is expected to stay at 7.5 percent. International companies are investing in Pakistan. More than 200 international companies have invested in govt's technology park. A number of DISCOs, Banks, Airports will soon be privatized on the same footing as PIA. Tax collection will reach 13000 billion by the end of this financial year, a huge jump from 7200 billion in 2022-23 Digital Pakistan program has received huge success as more than 16 lac traders have joined digital payment systems. 133 million people have joined digital banking systems as compared to 95 million last year.   MAJOR ALLOCATIONS Rs 1000 billion allocated for Public Sector Development Programme (PSDP) 54.6 billion for sustainable urban development 103.1 billion for water availability projects. 14 billion for Diamer Bhasha dam, 22 billion for Dasu dam, 15 billion for Dasu hydropwer and 10 billion for Karachi's K-4 water project. Rs 6.6 billion allocated for trade and industry. Rs 25.1 billion allocated for health. Rs46billion for higher education. Rs22 billion allocated for Danish Schools Program. Rs26.3billion for school and college education sector including early childhood training programme. Rs144.9 billion allocated for AJK and Gilgit-Baltistan. Rs 45 billion for AJK, 44 billion for GB, Rs56billion allocated for erstwhile FATA. Withholding tax on international transactions on credit/debit card brought down to 0.5 percent from 5 percent. Contraceptive tax brought down to zero. Government employees' salaries increased by 7% Retired employees pensions Increased by 7%. Minimum monthly wage increased by 10% 3,000 billion Rupees for Defence Rs128 billion provided for general and targeted petroleum subsidies to shield citizens from international oil price shocks. Rs838 billion allocated for Benazir Income Support Program. Rs365 billion allocated for Transport and Communication Infrastructure N-25 Pakistan Expressway (Dualling Balochistan highway connecting Karachi to Chaman) gets 100 billion Rupees. M-6 Motorway (Sukkur-Hyderabad Motorway) gets 30 billion Rupees. ML-I (Karachi-Rohri Section) gets 25 billion rupees. Thar Coal Connectivity Project gets 2 billion rupees. Gwadar Port Infrastructure & Provincial Transport Projects get 93 billion rupees. Rs 116.2 billion allocated for clean energy and hydro projects (Dasu, Tarbela 5th Extension, Mohand Hydro Project), modern grid systems like STATCOM (10.2 billion Rupees), battery storage (3 billion Rupees), and AJK/GB hydropower projects (13.1 billion Rupees). Rs71billion allocated for PM "Apna Ghar" Scheme, the low-cost housing finance initiative. TAX RELIEF FOR SALARIED CLASS The government has proposed direct income tax relief for salaried individuals across four distinct income brackets (slabs). Additionally, the 10% tax surcharge on the salaried class has been completely abolished. Here is the breakdown of the proposed salary tax slabs and the corresponding rate reductions: Annual Income Bracket (Slabs) Previous Tax Rate Proposed New Tax Rate Rs. 2,200,000 to Rs. 3,200,000 (22 to 32 Lakh) 23% 20% Rs. 3,200,000 to Rs. 4,100,000 (32 to 41 Lakh) 30% 25% Rs. 4,100,000 to Rs. 5,600,000 (41 to 56 Lakh) 35% 29% Rs. 5,600,000 to Rs. 7,000,000 (56 to 70 Lakh) 35% 32% Note on Surcharge: The finance minister highlighted that the surcharge on the salaried class was reduced from 10% to 9% in the previous budget, and this year it is proposed to be completely removed to fulfill the government's promise of reducing the tax burden on employees. FED on VEHICLES The government has proposed the following measures regarding the Federal Excise Duty (FED) on vehicles and cars: Imported Cars and SUVs: FED is being imposed on imported cars as well as Sports Utility Vehicles (SUVs) with engine capacities ranging from 2000cc to 3000cc. High-Capacity Vehicles: For vehicles with engine capacities greater than 3000cc, the existing FED rates are being increased. Luxury Electric Vehicles (EVs): The application of this tax is also extended to luxury Electric Vehicles valued at more than 20 million Rupees (2 Crore). Related Relief & Concessions for the Auto Sector While duties are being increased on luxury and high-engine imports, the speech notes specific continuing concessions to support local modernization and eco-friendly transport: Electric Two-Wheelers and Three-Wheelers: The existing concessional tax regime for electric motorcycles and rickshaws will remain intact for the upcoming year. Commercial and Passenger Electric Vehicles: Current concessions will also continue to be maintained for locally assembled/produced electric cars and buses. Electric Trucks: A new relief measure has been proposed to provide a 1% Sales Tax facility on imported electric trucks SUPER TAX Here are the key decisions regarding the Super Tax:1. Complete Abolishment for Mid-Tier Incomes Eligibility: Businesses with an annual income ranging between Rs. 150 million (15 Crore) to Rs. 500 million (50 Crore) across six distinct income slabs. Change: The Super Tax—which previously ranged from 1% to 7.5% depending on the slab—has been completely abolished. 2. Reduction for High-Tier Incomes Eligibility: Businesses with an annual income exceeding Rs. 500 million (50 Crore). Change: The Super Tax rate is proposed to be reduced from 10% to 8%. Critical Exclusions (Tax Maintained) This relief is intentionally targeted toward promoting general manufacturing, industries, and small-to-medium corporations. The finance minister explicitly stated that the existing tax/surcharge structures will remain fully intact and unchanged for the following high-earning sectors which include banks, oil and gas Exploration companies and fertilizer companies

LAKKI MARWAT: At least two civilians, including a two-year-old child, were martyred and 10 others injured in a suicide blast near a mosque in Khyber Pakhtunkhwa's Lakki Marwat district on Friday, police said.According to police, a motorcycle-borne suicide attacker attempted to enter a mosque in the Khairokhel Pakka area during Friday prayers. However, members of a local peace committee opened fire on the suspect before he could reach the mosque.Police said the firing triggered an explosion in the explosives-laden motorcycle, killing the attacker and causing a powerful blast near the mosque.A 22-year-old man and a two-year-old child were martyred in the incident, while 10 other people, including children, sustained injuries.At the time of the explosion, worshippers were offering Friday prayers inside the mosque, police added.The blast also set the motorcycle and the suicide attacker on fire.Rescue teams and law enforcement personnel rushed to the scene and shifted the deceased and injured to a nearby hospital for medical treatment.Authorities have cordoned off the area and launched an investigation into the incident. Security forces are also collecting evidence to determine the circumstances surrounding the attempted attack.27 Khwarij killed in Miran Shah IBO: ISPR[video mp4="https://arynews-1313565080.cos.ap-singapore.myqcloud.com/zip-archives/wp-content/uploads/2026/06/OJlPx-uJRomv9Do3-1.mp4"][/video]

ISLAMABAD: A special meeting of the federal cabinet on Friday approved the budget 2026-27 proposals, ARY News reported.According to details, Prime Minister Muhammad Shehbaz Sharif chaired a special cabinet meeting at Parliament House, ahead of the presentation of the federal budget for FY2026–27 in Parliament.The meeting gave final approval to the budget proposals and related documents for the upcoming fiscal year.Sources said that the cabinet approved a 7% increase in the salaries and pensions of government employees during the meeting.Minister for Parliamentary Affairs Tariq Fazal Chaudhry stated that the federal budget will be presented in the National Assembly and the Senate today. Federal Finance Minister Muhammad Aurangzeb will deliver the budget speech.Mr Chaudhry added that the Pakistan Muslim League (N) and all coalition partners will participate fully in the budget session. He also urged the opposition to play a constructive democratic role in the national interest.According to sources, the total size of the budget 2026–27 is expected to be approximately Rs18 trillion.Read more: Pakistan budget 2026–27 to be unveiled todayThe budget is likely to provide income tax relief for salaried individuals, while a reduction in the Super Tax is also under consideration. However, no reduction is expected in the corporate income tax rate.In addition, lower duties on cosmetics and personal care products—including make-up items, face powder, mascara, shampoo and soap—could lead to lower retail prices. Conversely, electric vehicles (EVs), hybrid vehicles and plug-in hybrid vehicles may become more expensive.A proposal is also under consideration to increase the climate levy on petroleum products from Rs2.50 to Rs5 per litre.

PESHAWAR: Former senator and prominent businessman Taj Muhammad Afridi was killed in a car accident on the M-1 Motorway on Friday, while his driver sustained injuries, according to the National Highways and Motorway Police (NHMP).A spokesperson for the Motorway Police said the accident occurred near Swabi on the Peshawar-Islamabad Motorway when the vehicle carrying Afridi lost control and plunged off the road.According to officials, Afridi was travelling from Islamabad to Peshawar when the incident occurred. Preliminary investigations suggest that the accident was caused by a mechanical fault, which led to the driver losing control of the vehicle.Motorway Police and rescue teams rushed to the scene and carried out emergency response operations. Afridi died in the accident, while the injured driver was provided medical assistance.Taj Muhammad Afridi was a member of the Senate of Pakistan from March 2015 to March 2021. He also served as the caretaker provincial minister for Relief and Rehabilitation in Khyber Pakhtunkhwa from January to August 2023.A well-known business figure, Afridi owned an oil refinery and had previously worked as a contractor for NATO operations in Afghanistan.In June 2023, he joined the Pakistan Muslim League-Nawaz (PML-N). He later contested a Senate by-election for a general seat from Khyber Pakhtunkhwa as an independent candidate in October 2025 but was unsuccessful.Read more: Murree Expressway Accident Toll Rises to 10; Victims Identified at PIMS

The federal government has decided to introduce a series of relief measures for farmers, salaried individuals and the real estate sector in the upcoming budget 2026–27, ARY News reported on Friday, quoting sources. The budget for fiscal year 2026-27 will be presented by Finance Minister Muhammad Aurangzeb in National Assembly today.According to details available with ARY News citing government sources farmers will receive a subsidy on DAP fertiliser, while additional relief is expected through reduced electricity costs for the agricultural sector.Sources said the relief package for agriculture has been incorporated into the Finance Minister’s budget speech as part of broader efforts to support farm productivity and reduce input costs.Read more: Budget 2026-27: Check out complete proposals for next fiscal yearThe government has also decided not to increase sales tax on solar panels, a move aimed at encouraging the adoption of renewable energy solutions in budget 2026-27.For salaried taxpayers, the budget is expected to provide tax relief ranging from 4 to 7 per cent, offering some respite amid rising living costs.The real estate and construction sectors are also set to benefit from proposed incentives. Sources indicated that the rate of transaction tax on the purchase and sale of property will be reduced to stimulate activity in the housing market and support the construction industry.

The Chief Justice of Pakistan (CJP) Justice Yahya Afridi has ordered the discontinuation of austerity measures previously implemented in the Supreme Court, with the policy set to formally end from 15 June 2026.Supreme Court of Pakistan austerity measures included a four-day workweek (Monday to Thursday), a 50% reduction in petroleum fuel allocations for official vehicles, and restricted protocols for judges. To sustain access to justice, courts prioritize video-link hearings, though Friday dockets are strictly limited to urgent matters.According to an official notification, the austerity-related directive issued on 10 March 2026 has been withdrawn.The notification states that the Supreme Court’s austerity policy will cease to be effective from 15 June 2026, following the Chief Justice’s approval.As a result, all administrative and operational affairs of the Supreme Court will resume under normal procedures from 15 June, with court functions returning to routine operations.Earlier, the Senate of Pakistan returned Rs1.436 billion to the national exchequer after implementing a wide-ranging austerity and expenditure rationalisation drive under the directions of Chairman Senate Syed Yousaf Raza Gilani.According to an official statement, the savings exceed the target set by the Finance Division by 500 percent and account for 15.9 percent of the Senate’s total budget for the fiscal year 2025–26.The austerity measures were initiated by the chairman from his own office and later extended across the Senate Secretariat. A comprehensive framework of expenditure controls and efficiency reforms was introduced to institutionalise financial discipline.One of the key measures included the suspension of 17 out of 18 procurement projects previously approved by the Senate Finance Committee, resulting in immediate and substantial savings. Recruitment and other non-essential expenditures were rationalised, administrative overheads reduced, and operational expenses placed under strict review.

ISLAMABAD: Prime Minister Shehbaz Sharif on Friday said that the federal budget for fiscal year 2026-27 had been prepared with great diligence and sincerity, with the welfare and prosperity of the people placed at the forefront.In a post on X, the prime minister expressed gratitude to Allah and said the government had worked hard to formulate a budget that prioritises the well-being of Pakistan's citizens.“Alhamdulillah, this budget has been prepared with great hard work and sincerity, and the welfare and prosperity of Pakistan's great nation have been given the highest priority,” he wrote.The federal budget for 2026-27 is set to be unveiled later today (Friday) by Finance Minister Muhammad Aurangzeb. The total outlay for the upcoming fiscal year is expected to be around Rs18 trillion.Read More: Pakistan budget 2026–27 to be unveiled todayAccording to budget proposals, government employees may receive a 10 percent increase in salaries, while the salaried class is expected to get relief through reductions in income tax rates.Tax rates for individuals earning between Rs1.2 million and Rs2.2 million annually are likely to be lowered. The government is also considering a reduction in the Super Tax, although the Corporate Income Tax rate is expected to remain unchanged. الحمدللہ اس بجٹ کو بہت محنت اور خلوص سے تیار کیا گیا ہے، اور پاکستان کی عظیم قوم کی فلاح و بہبود کو اولین ترجیح دی گئی ہے۔ — Shehbaz Sharif (@CMShehbaz) June 12, 2026 Several consumer products, including cosmetics, face powder, mascara, shampoo, and soap, may become cheaper due to proposed tax adjustments.However, electric vehicles (EVs), hybrid vehicles, and plug-in hybrid vehicles are expected to become more expensive under the proposed budget measures.

ISLAMABAD: The Muttahida Qaumi Movement-Pakistan (MQM-P) on Friday called for empowered local government through the proposed 28th Constitutional Amendment and demanded the restoration of Kamran Tessori as the Governor of Sindh during a meeting with Prime Minister Shehbaz Sharif.The meeting, held ahead of the federal budget for 2026-27, was attended by MQM-P Chairman Dr Khalid Maqbool Siddiqui, Dr Farooq Sattar, Mustafa Kamal, Aminul Haque, and Javed Hanif.The prime minister was accompanied by Deputy Prime Minister Ishaq Dar, Rana Sanaullah, Ahsan Iqbal, Azam Nazeer Tarar, Attaullah Tarar, and Tauqir Shah.According to sources, the MQM-P delegation discussed its budget proposals, a proposed constitutional amendment aimed at strengthening local governments, and the issue of Sindh's governorship.The party urged the government to introduce the local government constitutional amendment, arguing that it was a key component of the agreement between MQM-P and the ruling Pakistan Muslim League-Nawaz (PML-N). MQM-P leaders sought a timeline for the introduction of the 28th amendment.Sources said MQM-P clearly demanded the reappointment of Kamran Tessori as Governor of Sindh. The party also sought a special development package for Karachi and Hyderabad and proposed the direct allocation of Rs300 billion to Karachi through the National Finance Commission (NFC) mechanism.However, according to sources, PM Shehbaz shared plans for a Rs20 billion development package for Karachi and a Rs5 billion package for Hyderabad.Read More: Budget 2026-27: Check out complete proposals for next fiscal yearMQM-P also requested a separate route for the M-9 motorway with a new alignment and urged the government to extend the ML-1 railway project from Karachi to Rohri.The prime minister reportedly informed the delegation that the ML-1 project had been incorporated into the budget and expressed hope that it would be completed within a year.On the issue of local governments, sources quoted the prime minister as saying that the PML-N supports the proposed constitutional amendment and would engage with the Pakistan Peoples Party (PPP) in consultation with MQM-P to move the proposal forward.He also assured the delegation that the K-IV water supply project would be completed by December as previously promised, enabling Karachi to receive additional water supplies.Discussions were also held regarding the Sindh governorship. According to sources, the government acknowledged that the office should be given to MQM and agreed to continue consultations on the matter.

The Pakistan government has proposed a national development budget worth Rs3,675 billion for the fiscal year 2026–27, according to budget documents obtained by ARY News.Of the total allocation, Rs1,000 billion has been earmarked for the Federal Public Sector Development Programme (PSDP), while Rs2,224 billion has been set aside for provincial Annual Development Programmes (ADPs). An additional Rs451 billion has been allocated for development expenditures of state institutions.According to the documents, Rs745 billion of the federal PSDP will be financed through domestic resources, while Rs255 billion is expected from external funding.Among key sectoral allocations, the National Highway Authority (NHA) has been allocated over Rs224.51 billion.The Ministry of Water Resources will receive Rs103.8 billion for water storage and infrastructure improvements, while Rs88 billion has been allocated to the Power Division for energy-related projects.The Cabinet Division has been allocated Rs64.8 billion for Islamabad and special initiatives. A further Rs233.38 billion has been earmarked for development projects in provinces and special areas. Read more: Federal cabinet meets today to approve budget 2026-27 proposals For the education sector, Rs46 billion has been allocated to the Higher Education Commission (HEC), while Rs36.31 billion has been set aside for the Ministry of Education and Professional Training. The Railways Division will receive Rs40.65 billion for modernisation of the railway network.In the infrastructure sector, Rs30 billion has been allocated for the Karachi–Quetta–Chaman highway sections, Rs22 billion for the doubling of the Khuzdar–Kuchlak segment of the N-25, and an additional Rs48 billion for other sections of the same highway.The Prime Minister’s Youth Programme has been allocated Rs10.9 billion, while Rs3 billion has been earmarked for IT-focused youth initiatives.The government has also prioritised the expansion of the Danish Schools network in underserved regions. Allocations include Rs4.2 billion for Skardu, Astore and Sultanabad, Rs1.33 billion for a project in Kari, Islamabad, and Rs6.6 billion for schools in Azad Jammu and Kashmir, Balochistan and Sindh.Other notable allocations include Rs10.9 billion for defence monitoring capabilities, Rs2.55 billion for the completion of New Gwadar International Airport, and Rs1.05 billion for the Quantum Valley Pakistan project. Read more: Pakistan budget 2026–27 to be unveiled today A total of Rs2.47 billion has been allocated for the Climate Change Division, while the revised Green Pakistan Programme will receive Rs2.33 billion for afforestation efforts. Additionally, Rs76 crore has been set aside for the Board of Investment, and Rs65.5 crore for the Digital Economy Enhancement Project in budget 2026-27.According to the documents, Rs89 billion has been jointly allocated for Azad Jammu and Kashmir and Gilgit-Baltistan, while Rs56.7 billion has been earmarked for the development of merged districts of Khyber Pakhtunkhwa.The budget 2026-27 documents state that the core focus of the development outlay is the timely completion of ongoing projects rather than the launch of new schemes.

ISLAMABAD: Petrol pump owners in Pakistan have called on the government to replace the current weekly fuel pricing mechanism with a monthly review system, arguing that frequent price revisions are creating financial and administrative challenges for fuel retailers.According to the petrol pump owners association, regular fluctuations in fuel prices are undermining business stability and making it increasingly difficult for dealers to manage operations effectively.Petrol pump owners maintain that setting fuel prices on a monthly basis would bring greater stability to the market and provide a more predictable business environment.The association further stated that a monthly pricing mechanism would benefit both fuel dealers and consumers by reducing uncertainty and improving planning.Read more: Pakistan auto sales jump 45pc in first 11 months of FY26, PAMA reportsCalling for an immediate review of the existing petroleum pricing framework, the association urged the authorities to address the issue without delay.Petrol pump owners warned that if their demands are not accepted, they will launch a nationwide protest campaign. They added that responsibility for any escalation of the situation would rest with the relevant authorities should the matter remain unresolved.The association also argued that frequent changes in fuel prices are contributing to growing uncertainty and frustration among consumers.

LAHORE: The Punjab government on Friday announced the withdrawal of free public transport services across the province, with the decision taking effect from Saturday, June 13, 2026.Under the new directive, passengers will once again be required to purchase tickets for travel on the Orange Line Train, Metro Bus, Speedo Bus, and Green Electric Bus services.The provincial government had introduced free public transport as part of a comprehensive relief package aimed at easing the financial burden on citizens amid rising fuel prices and the global economic uncertainty linked to the Iran conflict.The free travel facility was initially announced for one month but was later extended.With the latest decision, the previous fare structure for the Orange Line Train, Metro Bus, Speedo Bus, and Green Electric Bus services will be restored from June 13.Read More: Petrol pump owners demand monthly fuel price reviewAccording to official figures, nearly 800,000 passengers benefited daily from the free transport initiative. Of these, around 290,000 commuters used the Orange Line Train each day, while more than 100,000 passengers travelled on the Metro Bus service free of charge.The relief package also included support for the agricultural sector. Farmers were offered a diesel subsidy of Rs100 per litre per acre to help offset rising cultivation costs.Motorcyclists were also covered under the package, with registered motorcycle owners receiving a subsidy of Rs100 on up to 20 litres of fuel.

JHANG: Authorities have constituted a Joint Investigation Team (JIT) to probe the case of 17-year-old student Eshal Fatima in Jhang, Punjab, ARY News reported on Friday.According to police, officials from the Punjab Police and the prosecution department held a meeting to review the progress of the investigation.The JIT has been formed under the supervision of the Superintendent of Police (SP) Investigation. The team includes the DSP City, DSP Saddar, DSP Investigation, the SHOs of Saddar Kotwali and Satellite Town police stations, as well as the investigating officer.Police said that all four suspects have been formally nominated in the case following a request by the complainant. Additionally, sections related to rape have been added to the FIR at the request of the complainant. Eshal Fatima Case: What We Know So Far Eshal Fatima, a 17-year-old first-year college student, was found dead at her home in Sultan Colony, Satellite Town, Jhang. Read also: Eshal Fatima Case: What We Know So Far? According to her family, she was a bright student with no known history of disputes or violence. Her death has triggered widespread public outrage across the country and renewed calls for stronger measures to ensure women's safety and greater accountability within law enforcement agencies.The investigation remains underway, and authorities have pledged to pursue all available leads to determine the circumstances surrounding her death. Case at a Glance Victim: Eshal Fatima, 17, first-year college student, Jhang Went missing: June 4, 2026 from Sultan Colony, Satellite Town, Jhang Found unconscious: June 7, 2026 at a private hospital, Jhang Died: June 7, 2026 at DHQ Hospital Jhang Suspects arrested: 3 (Khalil-ur-Rehman, Muhammad Hassan, Umais) + 1 female facilitator FIR registered at: Satellite Town Police Station, Jhang Post-mortem result: No evidence of sexual assault or torture (preliminary) Suspected cause of death: Toxic or intoxicating substance (preliminary; final report pending) Forensic samples sent to: Punjab Forensic Science Agency (PFSA), Lahore