Islamabad, June 11 (V7N) — Pakistan has decided to raise its defense budget by 20 percent following heightened conflict with India, while simultaneously reducing its total central government expenditure for the 2025-26 fiscal year. This development was reported by Qatar-based media outlet Al Jazeera on Tuesday.

According to the report, Pakistan’s total budget has been cut by approximately 7 percent, bringing it down to about 18 trillion Pakistani rupees. However, the defense budget has increased from 2.12 trillion to 2.55 trillion rupees to boost military capabilities.

The decision follows Pakistan’s efforts to strengthen its military after the most severe confrontation with India in three decades. Analysts point out that, despite the increased defense spending, Pakistan faces economic uncertainty due to import tariffs imposed by the United States, which could impact the country’s largest export market.

Prime Minister Shahbaz Sharif’s recent initiatives aimed at stimulating economic growth are expected to be reflected in the upcoming budget, balancing between defense needs and economic pressures.

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