
The Official Order: What Has Actually Happened
The Punjab government has officially announced a reduction of Rs35 billion from the Annual Development Programme (ADP) for fiscal year 2025-26. The decision, taken following a performance review by the Planning and Development (P&D) Board, targets the health and education sectors most severely.[1]
According to official sources, the health and population sector bore the brunt of these cuts, with its development allocation reduced by Rs25 billion. The school education development budget was separately slashed by Rs6 billion, dropping from Rs100 billion to Rs94 billion.[1] The stated rationale is straightforward: the P&D Board identified both departments as having a slow pace of fund utilisation, and the redirected money is being channelled toward urban development and road infrastructure projects deemed to have faster execution capacity.
Simultaneously, in what amounts to a sweeping austerity campaign, the Punjab Finance Department has formally notified the abolition of 30,391 vacant posts in the School Education Department, positions spanning Basic Pay Scale 1 to 16, through an official order (SO(SCHOOLS)14-217/2023) dated April 20, 2026.[2] A further 10,909 posts in the Health and Population Welfare Department have been abolished by formal Finance Department notification, including positions in District Health Authorities across the province.[3]
Punjab Information Minister Azma Bukhari confirmed the abolition of posts, stating the move was part of the Prime Minister’s Austerity Drive and that all abolished posts were surplus. Authorities have also indicated that the ADP cuts are not necessarily permanent, with improved-performing departments eligible for restored funding in the next fiscal year.[4]
The Government’s Rationale: A Convenient Argument
The government’s defence rests on three pillars: slow fund utilisation, the imperatives of the IMF-aligned austerity programme, and the notion that abolished posts had been vacant for years and therefore imposed a paper burden on the exchequer without delivering public services.[4]
On the surface, it sounds prudent. Why retain budget allocations that are not being spent? Why fund ghost posts? These questions deserve answers, but the answers the government has offered are deeply unsatisfying when placed against the reality of what public health and education mean to ordinary Punjabis.
Why This Decision Is Wrong
Slow utilisation is a governance failure, not a reason to reduce budgets.
The premise that underperforming departments deserve smaller budgets has a certain administrative logic, but it is wholly misplaced when applied to hospitals and schools. The slow pace of spending in health and education is itself a symptom of institutional dysfunction, inadequate procurement systems, bureaucratic delays, and understaffing. The correct response to slow utilisation is to fix the systems, not to take the money away and hand it to road contractors.
Abolishing vacant posts is not cost-cutting, it is a betrayal of future generations.
Teachers’ organisations, unions, and political parties, including the PPP, which described the move as a precursor to anarchy, have condemned the abolition of over 30,000 education posts and thousands more in health.[4] Their concern is legitimate. Punjab’s government schools face chronic teacher shortages. Eliminating posts that could have accommodated new teachers does not reduce a burden, it permanently forecloses a future recruitment avenue. As teachers’ leaders noted, no meaningful recruitment has taken place in the past four years.[2] These posts were not useless; they were unfilled due to a failure of governance. That failure should not now be used to justify their permanent extinction.
Roads over people: the wrong priority.
The redirected funds are explicitly earmarked for urban development and road infrastructure.[1] Roads are visible. They photograph well. They generate political capital. But the Rs25 billion pulled from health development cannot build the dispensaries, equip the rural hospitals, or train the paramedics that Punjab’s underprivileged majority desperately needs. The human cost of deferred health investment is diffuse and invisible, it shows up in maternal mortality rates, in treatable diseases going undetected, in children studying in crumbling schools. None of this appears in a ribbon-cutting ceremony.
The Wider Context: Austerity’s Unequal Burden
These cuts do not occur in a vacuum. Punjab’s austerity drive is part of a broader national programme aligned with IMF conditionalities, under which the federal government has also been engaged in large-scale abolition of vacant posts.[5] Pakistan’s fiscal tightening is a structural necessity, given the country’s debt burden and balance-of-payments position. But fiscal discipline must be applied with discrimination, certain expenditures are social investments, not luxuries, and health and education sit squarely in that category.
The Punjab government had itself announced a landmark Rs5.33 trillion budget for 2025-26, allocating Rs811 billion for education (21 per cent higher than the previous year) and Rs630 billion for health (17 per cent higher).[6] To now claw back Rs35 billion from within those same sectors, within the same fiscal year, exposes a troubling gap between the political messaging of record development spending and the operational reality of project management. The problem is not the ambition; the problem is the execution, and the government has chosen to penalise the public rather than fix its own administrative failings.
What Should Be Done Instead
The government must recognise that the cuts announced are reversible, officials themselves have said so.[1] But reversibility requires political will. The administration should immediately commission an independent review of why health and education development projects are chronically underspent, strengthen project management units within both departments, and establish a transparent mechanism for monitoring fund utilisation. On the posts question, the decision should be paused and the vacancy data made public, so that civil society, legislators, and affected communities can assess which positions were genuinely redundant and which were essential.
Chief Minister Maryam Nawaz has repeatedly positioned herself as a champion of education and health reform. These cuts official, documented, and damaging, sit in stark contradiction to that positioning. A government that genuinely believes in human development does not balance its books by raiding the health and education budgets while leaving road contracts intact.
Punjab’s people are not an accounting entry. A province that cannot staff its schools or fund its hospitals, not for want of money, but for want of political prioritisation, is mortgaging the future of its children for the convenience of the present. This decision must be reversed.
References
1 BloomPakistan. (April 24, 2026). Punjab Announces Rs. 35 Billion Cut in Health and Education Funding. https://bloompakistan.com/punjab-announces-rs-35-billion-cut-in-health-and-education-funding/
2 The Express Tribune. (April 21, 2026). Punjab slashes jobs ahead of new budget. https://tribune.com.pk/story/2604067/punjab-slashes-jobs-ahead-of-new-budget
3 The Nation. (April 24, 2026). Govt decides to abolish vacant posts in Health and Population Welfare Department. https://www.nation.com.pk/24-Apr-2026/govt-decides-abolish-vacant-posts-health-population-welfare-department
4 The News International. (April 22, 2026). 30,000 vacant seats in Punjab schools dept abolished. https://www.thenews.pk/print/1411668-30-000-vacant-seats-in-punjab-schools-dept-abolished
5 Dawn. (January 27, 2025). 150,000 federal posts vacant after rightsizing. https://www.dawn.com/news/1887920/150000-federal-posts-vacant-after-rightsizing
6 Arab News. (June 16, 2025). Pakistan’s Punjab unveils $18.9 billion budget, increases development spending by 47%. https://www.arabnews.com/node/2604699/amp




