Pakistan allocates PKR 5.59 billion for youth skills training and internships in FY2026-27

Pakistan has allocated more than PKR 5.59 billion for youth skills development and internship programs in fiscal year 2026-27, according to budget documents.

The funds are intended to equip a growing young population with education, training and employment opportunities as around 2.8 million people enter the labor force each year.

What does Pakistan's youth skills budget cover in FY2026-27?

The budget allocates PKR 5,290.49 million to expand the Prime Minister's Youth Skills Development Program, targeting 120,000 trainees in information technology, digital technologies and industrial skills.

A separate PKR 300 million supports the Ba-Ikhtiar Naujawan Internship Program, which helps graduates gain practical workplace experience and bridge the gap between academic qualifications and industry needs.

How many youth has the skills program trained so far?

Reviewing progress during FY2025-26, the budget document recorded more than 131,417 cumulative graduates from the Prime Minister's Youth Skills Development Program.

A further 5,471 trainees received instruction in advanced digital skills through initiatives including Summer of Code, chip design programs and courses supported by Huawei. These programs target preparation for emerging technology sectors.

Why is youth employment a priority in Pakistan's budget?

Pakistan's population reached 241.49 million during FY2025-26, growing at an annual rate of 2.55%. More than 64% of the population is under the age of 30, and around 2.8 million people enter the labor force each year.

The government projects the population could reach between 372 million and 390 million by 2050 under different fertility scenarios.

What population measures is Pakistan implementing alongside skills programs?

The budget documents reported modest improvements in population indicators during FY2025-26. The Contraceptive Prevalence Rate increased from 41.4% to 42.3%, while the Total Fertility Rate declined from 3.54 from 3.59.

Several policy frameworks are being implemented, including the National Action Plan on Population (2021-26), FP2030 commitments and the International Conference on Population and Development Program of Action.

Planned measures for FY2026-27 include a sales tax exemption on contraceptives, support for indigenous contraceptive production and development of a public-private partnership framework. The government also plans district-level population projections, a centralized national knowledge hub and an ICPD Beyond 2030 monitoring mechanism. Officials said these steps reflect an evidence-based approach to long-term demographic planning.

The government has completed a draft National Strategic Framework on Population and Development and prepared population projections for 2023-2050 in collaboration with the United Nations Population Fund, the National Institute of Population Studies and the Ministry of National Health Services, Regulations and Coordination.

Phase III of the D4D Data Portal is also planned for operationalization during FY2026-27, integrating data feeds from all four provinces and launching district-level projections extending to 2050.