Prime Minister Shehbaz Sharif on Thursday announced the KP development package 2026 — a Rs160 billion federal development plan for Khyber Pakhtunkhwa — pledging that the centre would leave no stone unturned in crushing terrorism in the province while fast-tracking long-delayed uplift projects across its settled and merged districts.
The announcement came as the prime minister chaired a meeting of the Federal Apex Committee at the Governor’s House in Peshawar, attended by Deputy Prime Minister and Foreign Minister Ishaq Dar, Chief of Army Staff and Chief of Defence Forces Field Marshal Syed Asim Munir, KP Governor Faisal Karim Kundi, and a host of federal ministers including Ahsan Iqbal, Mohsin Naqvi and Attaullah Tarar.
Rs160 Billion KP Development Package: Where the Money Will Go
Briefing reporters after the meeting, KP Information Adviser Samar Haroon Bilour said 70 per cent of the KP development package 2026 — roughly Rs112 billion — has been earmarked for the merged (former tribal) districts, while the remaining 30 per cent, around Rs48 billion, will be spent in the rest of the province. The split, she said, reflects the enormous development backlog in the merged areas, which continue to bear the brunt of terrorism and decades of underinvestment.
The prime minister also addressed a separate meeting of the Area Representative Development Council, a body of 48 elders from 12 terrorism-affected districts — Dera Ismail Khan, Tank, Lakki Marwat, Bannu, Bajaur, Mohmand, Khyber, Kurram, Orakzai and the North and South Waziristans — where Field Marshal Munir was also present. There, too, he repeated the Rs160 billion pledge and said federal resources would be mobilised for the Counter-Terrorism Department, police training, modern equipment and the completion of long-pending Safe City projects.
Education Boost: Danish Schools and a Technical Institute
Education featured prominently in the KP development package 2026. He said Danish schools — the residential schools for underprivileged children pioneered in Punjab — would be established in Bajaur, Lakki Marwat and Chitral, while a technical institute would be set up in Dera Ismail Khan to give the region’s youth marketable skills.
The move is significant for districts where classrooms are overcrowded and, in some cases, schools were destroyed or damaged during years of militancy. The prime minister also expressed sorrow over the recent deaths caused by a school roof collapse in Peshawar, saying the tragedy underlined why investment in safe, modern school buildings could not wait.
Security Pledges and the Fight Against Terrorism
The security component of the KP development package 2026 goes beyond bricks and mortar. Shehbaz Sharif vowed that terrorism would be crushed, saying the federal government would provide everything the province’s police and CTD need — from modern equipment to better training. The completion of Safe City projects, which use cameras and command centres to monitor urban areas, was also promised.
The prime minister endorsed a frank remark by ARDC chairman Shaukatullah Khan, who told the meeting that “development work is zero, corruption is 100 per cent, and terrorism is at its peak” in the affected districts — an unusually blunt assessment delivered in front of the country’s civil and military leadership.
Wheat Supply and a Warning Against Hoarding
The prime minister also addressed the province’s food security concerns, directing that the centre would supply KP “as much wheat as is needed” from PASSCO stores at the federal price — a food-security assurance tied to the KP development package 2026 rollout. He warned that hoarding would not be tolerated, signalling that the government is watching grain markets closely as winter demand builds.
Corruption Allegations and the NFC Record
Shehbaz Sharif did not shy away from the political side of the visit. He alleged the misuse of Rs100 billion in a clean drinking water project and cited a Rs37 billion fraud case in Kohistan, saying the province’s people had been deprived of funds meant for their welfare.
He added that the federation had transferred more than Rs800 billion to Khyber Pakhtunkhwa under the National Finance Commission Award specifically for counterterrorism over the years, and questioned where that money had gone. The remarks landed amid an ongoing tussle between the federal government and the PTI-led provincial setup over governance in the province, including talk of emergency measures and governor’s rule — making transparent delivery of the KP development package 2026 a political test as much as an administrative one.
The KP development package 2026 now heads for implementation, and the real test — as always with such announcements — will be how quickly the money reaches the districts it is meant for. For the merged districts, where the prime minister himself acknowledged development has stalled, the Rs112 billion share could be transformative if it is spent transparently and on time.
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