Budget 2026-27: Sindh govt allocates Rs108bn for Karachi's development

The Sindh government has allocated more than Rs100 billion for Karachi's development schemes in the 2026-27 budget.

Announcing the budget in the Sindh Assembly, Chief Minister Syed Murad Ali Shah said that 816 development schemes with a total estimated cost of Rs644.3 billion are currently under way in the metropolis. He said Rs100.19 billion has been allocated for Karachi during the next fiscal year, while total allocations for 822 schemes, including citywide projects, stood at Rs108.1 billion.

He said 167 major projects costing more than Rs500 million each and 110 mega projects valued at over Rs1 billion were being implemented across the city. Among key infrastructure initiatives, the government announced a new flyover from Airport Road to Star Gate at a cost of Rs1.2 billion and a Rs1.5 billion right-turn underpass from Malir Halt to Shahrah-e-Faisal. Another Rs1.65 billion has been allocated for a flyover at the Sir Shah Suleman Road crossing over Gujjar Nullah.

The budget also includes funds for Shahrah-e-Bhutto corridor projects, including a junction at Korangi Causeway, the Azeempura Intersection Flyover and Shah Faisal Road improvements. A new link road connecting to the Shahrah-e-Bhutto Expressway will receive Rs703.8 million.

To address urban flooding and drainage issues, the government has earmarked Rs1 billion for the third phase of major storm-water drain rehabilitation, Rs1.1 billion for the restoration of Gujjar Nullah and its service roads, and Rs280 million for a storm-water drain project from the M-9 Motorway to Thaddo Nullah.

The provincial government has also allocated more than Rs9 billion for the Solid Waste Emergency and Efficiency Programme and approved six modern garbage transfer stations at a cost of Rs1.66 billion. Upgradation work at the Jam Chakro and Gond Pass landfill sites will continue under a Rs1.18 billion project.

In the water sector, funds have been earmarked for K-IV-related water supply schemes, upgradation of pumping stations in East and Central districts, repairs to Karachi's trunk water mains and a new water supply line along the Lyari Expressway.

The budget allocates Rs13.2 billion for the Red Line Bus Rapid Transit (BRT) project and more than Rs3.5 billion for the Yellow Line BRT corridor. Funding has also been reserved for the Karachi Water and Sewerage Services Improvement Project (KWSSIP) Phase-II, the Greater Karachi Sewerage Plan (S-III) and the Karachi Safe City Project.

The chief minister said a modern forensic laboratory and forensic science agency would be established in Karachi to strengthen law enforcement and criminal investigations.

In the health and education sectors, Rs1 billion has been allocated for the Sindh Infectious Diseases Hospital, while Rs1.4 billion has been earmarked for a paediatric cardiac unit at the National Institute of Cardiovascular Diseases (NICVD). Development funds will also be provided for a new medical college, the Karachi Education Complex, Bilawal Bhutto Engineering College in Lyari and Shaheed Zulfikar Ali Bhutto Law University.

CM Murad said funds had also been allocated for the establishment of a Provincial Civil Services Academy, a Sindh Revenue Board training academy and office, business district improvements, sports facilities and development projects at universities and educational institutions across the city.

The chief minister said transport, water supply and drainage projects would remain the government's priority as it seeks to improve civic infrastructure and public services in Pakistan's largest city.