Islamabad:
In response to rising security threats and recent military escalation with India, the federal government on Tuesday proposed a significant 21 percent increase in the defense budget for the 2025-26-one step that received the support of the cross-party.
The proposed allocation of RS2,550 billion marks a sharp increase from the outgoing financial year’s original defense budget of RS2,128 billion.
The revised figure for the current year is RS2,181 billion, reflecting the financial burden of last month’s four-day military standoff with India, where both countries exchanged missiles and drones for the first time since he became nuclear forces.
The increase in Pakistan’s defense expenses This year, the average annual increase of 10-15 percent seen in recent years will be driven by what officials denote a “radically changed regional security environment”.
India’s defense budget from 2025-26 has been set at $ 78.7 billion-one increase of 9.5 percent-with $ 21 billion earmarked for the purchase of new military equipment.
According to the budget documents, Pakistan’s defense costs as a percentage of GDP will rise to 1.97 percent, up from last year’s 1.71 percent. The figures exclude RS742 billion awarded for pensions of retired military staff and RS300 billion for the armed forces development program.
An overview of the proposed allocation of RS2,550 billion shows: RS846 billion allocated for salaries and employee -related expenses; RS704 billion for operating expenses; RS663 billion for purchasing weapons, ammunition and related equipment – both domestic and imported – and RS336 billion for civilian work and infrastructure development.
While all three services – the army, fleet and air force – will receive budgetary increases, the Pakistani army continues to command the largest proportion because of its size and operational responsibility.
The budget walk comes in the wake of unprecedented hostility last month, triggered by India’s claims that Pakistan was behind the Pahagam attack. Pakistan categorically refused any commitment.
The two countries exchanged drones and missiles before accepting a US ceasefire on May 10, which, despite India, later rejected Washington’s mediation and insisted on its military campaign call “Operation Sindoor”-simply paused.
During the conflict, Pakistan lowered six Indian fighter jets and an UAV. Islamabad has since warned that any future violation of its sovereignty would be met with a quick and powerful response.
India, under Prime Minister Narendra Modi, has adopted a more aggressive attitude and declared that any future attack could be treated as an act of war.
Defense analysts claim that the strategic landscape has changed. As India effectively lowered the threshold of conflict, Pakistan’s defense planners are increasingly focusing on acquiring the next generation technologies, including the fifth generation of fighter jets from China, advanced drones and cyber war leadership.
In recent years, debates for balancing defense expenses with developmental priorities were common.
However, in the current context of increased military alarm and geopolitical uncertainty, the latest budget has drawn some public criticism.
Experts warn that absent a credible peace process and sustained diplomatic commitment, where the region risks being caught in an expensive and dangerous weapons race.
