Increase comes amid tensions with India, Afghan border concerns.

Overall development outlay slashed by 25pc to Rs3.218tr; no new projects except for interior, defence ministries; federal PSDP reduced to Rs1tr.

The defence increase followed talks with provinces over pooling fiscal space for security needs, with development plans also cut back before the Budget. | India News

Finance Minister Muhammad Aurangzeb told parliament the government would allocate 3 trillion rupees for defence in the fiscal year starting July, up 18% from the outgoing year,…