Pakistan’s defence budget hike sparks fiscal priorities debate amid cash crunch | India News
[ad_1] ISLAMABAD: Pakistan’s decision to boost defence spending by 18% to over Rs 2.5 lakh crore in the 2025-26 budget has ignited fresh debate over the cash-strapped nation’s fiscal priorities as economic woes deepen and inflation hits more than 38%.Economists warned the latest defence allocation framed as a response to escalating tensions with India following the April 22 Pahalgam attack that killed 26, mostly tourists, risks derailing economic reforms and squeezing social spending.Cross-border firing along LoC intensified in 2025. In response, Islamabad has vowed to ramp up military preparedness while simultaneously pushing forward with costly hydropower projects.Planning and development minister Ahsan Iqbal identified water security as a strategic imperative, accusing India of “water aggression” through upstream dam projects on rivers shared under Indus Waters Treaty. “We will not allow India to exploit our water resources,” Iqbal said, pledging accelerated work […]