ISLAMABAD: The federal government and the Pakistan Peoples Party (PPP) on Wednesday held detailed consultations on the upcoming Federal Budget 2026-27, with both sides discussing development priorities, public welfare measures and strategies for sustainable economic growth.

A high-level meeting between Deputy Prime Minister and Foreign Minister Ishaq Dar and senior PPP leaders was attended by Finance Minister Muhammad Aurangzeb, Minister of State for Finance Bilal Azhar Kayani, Special Assistant to the Prime Minister Tariq Bajwa, the Finance Secretary and the chairman of the Federal Board of Revenue.

The PPP delegation included Sindh Chief Minister Murad Ali Shah, Syed Naveed Qamar, Sherry Rehman and Saleem Mandviwalla.

During the meeting, participants exchanged views on development funding, sustainable economic policies and priorities for inclusive growth. They also discussed the federal Public Sector Development Programme (PSDP), public welfare initiatives and the restructuring of the Benazir Income Support Programme (BISP).

According to sources, the meeting reviewed the PPP’s reservations regarding the upcoming federal budget, with the government agreeing in principle to consider and incorporate development projects proposed by the party into the budget framework.

The participants also agreed on a proposal to present the Federal Budget 2026-27 on June 10.

Separately, Minister for Parliamentary Affairs Tariq Fazal Chaudhry said the government considered consultations with coalition partners an important part of the budget-making process.

He said the PPP and the Muttahida Qaumi Movement-Pakistan (MQM-P) were key allies of the ruling coalition and that their practical recommendations would be reflected in the budget.

Tariq Fazal Chaudhry said the government’s objective was to provide maximum relief to the public while placing the least possible financial burden on citizens.

He added that the budget presentation date had been moved from June 5 to June 10 to allow additional time for consultations and consensus-building among coalition partners.

The minister stressed that the budget must be passed before June 30, noting that government expenditures from the national treasury could not continue without parliamentary approval.

He also reiterated that the federal government had no constitutional authority to withhold funds from provinces and said Khyber Pakhtunkhwa had received its due share under the Constitution.

The consultations come as the government steps up engagement with coalition partners in an effort to secure broad political backing for its economic and development agenda for the next fiscal year.