Pakistan, July 31 -- The federal government has officially approved a 7% increase in pensions for retired civil servants and armed forces personnel, with the revised payments taking effect from July 1, 2026. The decision was announced through an Office Memorandum issued by the Ministry of Finance, providing relief to pensioners as part of the government's financial measures for the new fiscal year.

According to the notification, the increase applies to all federal civil pensioners, including civilian employees paid from Defence Estimates, as well as retired members of the armed forces and civil armed forces. Pensioners who retire on or after July 1, 2026, will also be entitled to receive the 7% increase on their baseline pension under th...