ISLAMABAD: Prime Minister Shehbaz Sharif on Monday reviewed the proposed Rs1.51 trillion Public Sector Development Progra­mme (PSDP) for the fiscal year 2026-27 with an emphasis on full utilisation of development funds, especially by the sectors performing satisfactorily.

According to an official of the Plan­ning Division, it was an initial mee­ting and more sittings will be held on the development funds before the federal budget. The PSDP, however, will be finalised in the Annual Devel­o­p­ment Programme (ADB) meeting.

The official told Dawn that the prime minister directed that more fun­ds should be given to the ministries and divisions performing well, while funds should be squeezed for those making slow progress. Accor­ding to an official statement, PM Shehbaz emphasised that public money should be invested in such development projects which ensured tangible results. The PM reviewed the ongoing year’s development budget and proposed projects under the PSDP for the next fiscal year.

PM Shehbaz said ministries demonstrating better performance would be given priority in the allocation of funds for development projects, adding that water reservoirs and hydropower projects were among the government’s top priorities in development spending.

Rs1.5tr proposed for uplift projects

The meeting was attended by Deputy Prime Minister and Foreign Minister Ishaq Dar, along with federal ministers Ahsan Iqbal, Ahad Khan Cheema, Muhammad Auran­gzeb, Rana Tanveer Hussain, Shaza Fatima Khawaja, Hanif Abbasi, Sardar Awais Leghari, Mian Moha­mmad Moeen Watto, Abdul Aleem Khan, Dr Khalid Maqbool Siddiqui, Minister of State Bilal Azhar Kayani, Special Assistant Haroon Akhtar Khan, and other senior officials.

The PM also appreciated Finance Minister Aurangzeb for the successful launch of panda bonds and their positive reception in the market. During the briefing, the prime minister praised the performance of the ministries of railways, information technology, and power. He also directed authorities to encourage public-private partnerships in the development projects.

The meeting was informed about the progress made on the current PSDP and was briefed on proposed deve­l­opment schemes and the requ­ired funding for the next fiscal year.

The relevant officials also presented updates on major national water storage and hydropower projects, including Dasu Dam, Diamer-Bhasha Dam and Mohmand Dam. Later, Timur Turlov, the CEO of Freedom Holding Corporation, called on the PM. During the meeting, the prime minister welcomed Mr Turlov to Pakistan and conveyed his warm wishes for Kassym Jomart Tokayev, President of Kazakhstan. He thanked Mr Turlov for expressing interest in expanding his business operations in Pakistan, including through the establishment of branches, digital financial services, and correspondent banking partnerships.

Published in Dawn, May 19th, 2026