The federal government has proposed the inclusion of 24 new development projects in the Public Sector Development Program (PSDP) for fiscal year 2026-27, with an estimated allocation of Rs. 26.46 billion aimed at strengthening public infrastructure and healthcare facilities.
According to official planning documents, a significant portion of the proposed projects focuses on upgrading healthcare institutions in Lahore, particularly major public hospitals and medical education facilities.
Among the key initiatives, Rs. 150 million has been proposed for the construction of a new historical block at Mayo Hospital Lahore, while another Rs. 150 million has been earmarked for the upgradation of the hospital’s outpatient department (OPD).
The government has also recommended an allocation of Rs. 490 million for the construction of a modern pharmacy facility at Children’s Hospital Lahore to improve healthcare services and pharmaceutical management.
In addition, Rs. 550 million has been proposed for the modernization and expansion of the Pathology Department at Children’s Hospital Lahore, enhancing diagnostic capabilities and laboratory services.
The proposed development package further includes Rs. 300 million for the construction of a new academic block at the College of Dentistry in Lahore, aimed at supporting medical education and training.
A separate proposal is also under consideration for the procurement of advanced MRI machines and other modern medical equipment, with estimated expenditures of approximately Rs. 7.4 billion.
Officials stated that the projects are part of broader efforts to improve healthcare infrastructure, expand medical services, and enhance educational facilities within the public sector.
If approved, the new schemes will become part of the Federal Budget 2026-27 and contribute to the government’s ongoing development agenda focused on public service delivery and infrastructure modernization.
