NEWSFLASH: Pakistan Raises Defense Spending by 20% After India Attacked Its Terror Bases

Pakistan has announced a 20% increase in its defense budget following last month’s deadly escalation with India. The new allocation was presented as part of the fiscal year 2025-26 budget by Prime Minister Shehbaz Sharif’s government.

The total budget expenditure has been set at 17.57 trillion rupees (approximately $62 billion), marking a 7% reduction from the previous year. However, defense spending will rise to 2.55 trillion rupees ($9 billion), up from 2.12 trillion rupees allocated in the previous fiscal cycle, according to Finance Minister Muhammad Aurangzeb.

The budget announcement comes on the heels of heightened tensions earlier this year when relations between India and Pakistan sharply deteriorated after a terror attack targeting tourists in India's  Kashmir. The incident triggered weeks of cross-border hostilities, including missile and drone strikes that resulted in the most serious flare-up since 2019.

Prime Minister Sharif, addressing his Cabinet, asserted that while Pakistan had succeeded in conventional warfare, the focus must now shift to economic competition. Meanwhile, opposition lawmakers disrupted Aurangzeb’s budget address with protests, chanting, and throwing papers.

The defense allocation for the coming year significantly exceeds spending earmarked for higher education, agriculture, and climate change mitigation—sectors where Pakistan faces severe challenges.