By Abdul Ghani
The federal government has released Rs2.77 billion for development projects in Balochistan listed under the Public Sector Development Programme (PSDP) for FY2025-26. This early funding marks a significant step in Balochistan PSDP 2025, which focuses on roads, water, and urban infrastructure to boost the province’s growth.
The document, available with this reporter, shows that against a revised allocation of Rs24.49 billion for Balochistan projects under “Demand No. 109 – Other Development Expenditure, Provinces & Special Areas,” cash releases so far total Rs2,772.65 million.
Looking at the bigger picture, the combined revised allocation for all provinces is Rs92.79 billion, with total releases of Rs3.01 billion to date. Balochistan has received the majority of early cash flows under this budget head.
So far, the province has received roughly 92 percent of funds released under the provincial component, though this represents just over 11 percent of its own revised allocation.
Balochistan PSDP 2025 Early Funding Highlights
The focus of Balochistan’s projects is clear. Roads, water resources, and municipal infrastructure dominate the portfolio—areas repeatedly flagged by governments and local legislators as key limits to growth.
Major Road Projects Under Balochistan PSDP 2025
Road projects range from building black-top roads and bypasses in remote districts to major link improvements connecting agricultural valleys and mineral hubs with national highways.
Highlighted schemes include the Ghand Dam in Baker, Dera Bugti; a 110-km road from Chedagi at the Iran border to Panjgur; a 15.5 km black-top Northern Bypass Road in Loralai; a 103 km road from Zhob to Mekhtar via Murgha Kibzai connecting N-50 and N-70; and black-top roads in Taftan, Chaghai District.
The working paper lists many district-wise projects across Quetta, Kech, Panjgur, Chaghai, Washuk, Kalat, Killa Saifullah, Zhob, Ziarat, and other districts.
Funding is being released in standard tranches, often between Rs196 million and Rs700 million, to keep contractors and agencies working during the first half of the fiscal year.
By contrast, new-start or feasibility-stage projects haven’t been released yet, a typical pattern in the first quarter when vetting, procurement, and site handovers are still in progress.
Water and Irrigation Projects Leading Development
Water projects remain a priority. The Ghand Dam in Baker, Dera Bugti, illustrates the small-to-medium storage strategy aimed at stabilizing water supply and supporting micro-irrigation in drought-prone areas.
Even small funding releases help with land acquisition and contractor mobilization, which often slow progress more than construction work itself.
Urban Infrastructure and Smart City Initiatives
Urban services and “smart city” initiatives, especially in Quetta, are also highlighted. These include roads, drainage, streetlights, waste management, and traffic improvements. Though smaller in budget size than major roads, they have a visible impact on residents’ daily lives.
Funding Trends and Project Sequencing in Balochistan
The working paper emphasizes the pace and sequence of investment rather than just total allocations. With Rs2.77 billion released for Balochistan against Rs24.49 billion in revised allocation, spending is modest but follows historical trends for the early fiscal year.
Releases typically increase in the third and fourth quarters as projects reach milestones like subgrade completion, casting, or equipment delivery.
Concentrating early funds on roads, water, and urban services matches the province’s short-to-medium-term growth needs. Better roads lower transport costs, expand labor markets, and encourage private investment in logistics, agriculture, and mining.
Dams and water projects support resilience against multi-year droughts. Incremental improvements in Quetta’s infrastructure remain key for administration, business, and health services.
Overall, Balochistan is receiving the lion’s share of early PSDP funds, and the focus on connectivity and essential services reflects a practical approach to boost economic growth across the province.
Author Profile
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Abdul Ghani is a sharp analyst focused on Pakistan's industrial transformation. His reporting reveals the textile sector's pivot from basic cotton to high-growth value-added apparel.
Ghani's work underscores the triumph of knitwear and garments in boosting exports, while warning policymakers to tackle energy costs to secure long-term global competitiveness.
