ISLAMABAD, April 22, 2026 — The federal government has proposed Rs41.7 billion for education sector reforms under the Public Sector Development Programme (PSDP) 2026–27, targeting infrastructure upgrades, digital learning expansion and technical training across institutions in Islamabad.
According to the Ministry of Federal Education and Professional Training, the funding plan includes 23 development projects aimed at improving public education systems and expanding access to skills-based programmes. The proposal primarily affects students and teachers in federal government schools and colleges, with a focus on modernising facilities and strengthening vocational pathways.
Funding breakdown and project scope
Of the total allocation, Rs33.4 billion has been proposed for 16 ongoing projects, including Rs29.86 billion for schemes managed by the ministry and Rs3.56 billion for programmes under the National Vocational and Technical Training Commission. A foreign exchange component of Rs400 million is also part of the plan.
For seven new initiatives, the ministry has proposed total project costs exceeding Rs25 billion, with Rs8.28 billion requested for the 2026–27 fiscal year. These projects are currently under review by the Central Development Working Party, which oversees major public sector investments.
Key initiatives
Among the proposed projects is the establishment of a Danish School in Subatpur, estimated at Rs2.31 billion. A separate Rs4.72 billion initiative aims to expand digital learning systems, including the integration of learning management platforms in institutions overseen by the Federal Directorate of Education.
The plan also includes the solarisation of 200 educational institutions in Islamabad at a cost of Rs482.82 million, alongside Phase II of a programme to provide basic facilities in federal institutions, with an estimated cost of Rs7.49 billion.
Additional proposals include upgrading science laboratories in 137 institutions with a budget of Rs1.08 billion, introducing Matric-Tech education with a cost of Rs2.69 billion, and launching a Rs6.5 billion scholarship programme to support students pursuing technical education.
Policy focus and next steps
Officials say the proposed funding reflects a continued emphasis on improving education infrastructure and aligning curricula with vocational and technical skills. Measures such as digital learning expansion and laboratory upgrades are intended to modernise teaching environments, while technical education initiatives aim to broaden access to employment-oriented training.
The proposals remain subject to approval by the Central Development Working Party and the federal budget process for 2026–27. Final allocations and implementation timelines will be determined following approval.
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