President signs finance bill 2026, Federal budget to take effect from July 1

The president signed the bill after it was passed by Parliament, completing the final constitutional requirement for the implementation of the new budget

President Asif Ali Zardari has formally approved the Finance Bill 2026, clearing the way for Pakistan’s federal budget for the fiscal year 2026-27 to come into force from July 1.

The president signed the bill after it was passed by Parliament, completing the final constitutional requirement for the implementation of the new budget. Following the approval, the Finance Bill was sent to the Printing Corporation for publication in the official Gazette, after which it will become law.

According to Ministry of Finance sources, the federal budget, with a total outlay of approximately Rs18.77 trillion, will be implemented from July 1, along with all fiscal measures announced in the budget.

The Finance Bill includes a 7% increase in salaries and pensions for government employees. Revised tax rates, duties, and other financial measures outlined in the budget will also take effect at the start of the new fiscal year.

The National Assembly approved the Finance Bill on June 23 by a majority vote after debating the government’s budget proposals for the upcoming financial year.

With the president’s assent, the government is now set to begin implementing its fiscal agenda aimed at managing public finances, revenue generation, and economic priorities for the 2026-27 fiscal year.