KP's MTI Budget Rises to Rs80 Billion Amid Transparency Concerns

KP’s MTI Budget Rises to Rs80 Billion Amid Transparency Concerns

Peshawar: The Khyber Pakhtunkhwa government has increased the budget for Medical Teaching Institutions (MTIs) to Rs80 billion for the 2026-27 fiscal year, reflecting a nearly 22% increase from last year’s allocation of Rs65.7 billion. While the larger budget aims to strengthen healthcare services, it has also sparked concerns over financial transparency and accountability.

Health experts have questioned the absence of comprehensive external audits of MTIs, despite these institutions receiving substantial government funding and generating additional revenue through the Health Card Plus programme, Institution-Based Practice (IBP), and patient service charges. They argue that public institutions handling taxpayer money should be subject to regular independent financial reviews.

Major MTIs, including Lady Reading Hospital, Khyber Teaching Hospital, Hayatabad Medical Complex, Peshawar Institute of Cardiology, and hospitals in Mardan, Bannu, Dera Ismail Khan, and Swabi, continue to receive significant public funding. However, critics say there is limited public information on how these resources are being utilized.

Under the MTI Reforms Act 2025, these institutions were granted administrative and financial autonomy, reducing direct oversight by the provincial health and finance departments. While officials believe the autonomy improves efficiency, healthcare analysts insist stronger financial accountability is essential to maintain public trust.

Provincial health officials maintain that the increased budget will help improve healthcare delivery and expand services across the province. They also defend the existing governance structure, saying MTIs have internal mechanisms to monitor spending.

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