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Pakistan

Khyber Pakhtunkhwa Cracks Down on Unapproved Fund Entries in SAP System

NMAdmin October 24, 2026 1 2 min read
Khyber Pakhtunkhwa Cracks Down on Unapproved Fund Entries in SAP System

PESHAWAR — The Khyber Pakhtunkhwa government has moved to tighten procedures for the release of public funds, making prior approval mandatory before any money is entered into the SAP system.

The provincial Finance Department has barred the entry of funds into the system without prior approval or instructions from the competent authority, according to officials. Employees found responsible for delays, negligence or violations of the prescribed rules will face disciplinary action.

New Rules Govern Development Fund Releases

According to the department, new procedures have been issued to regulate the release and recording of government funds. Under the revised rules, compliance with prescribed formats for the release of funds under the Annual Development Programme (ADP) and Public Sector Development Programme (PSDP) has been made mandatory.

The department has also directed daily monitoring of the release and expenditure of funds under both the development and current budgets. Approval from the competent authority will now be required for the release and reallocation of development funds.

Urgent Releases Cannot Bypass Approvals

Even in urgent cases, prior permission from the finance secretary or the relevant authorised officer will be necessary before funds can be released. The department clarified that the urgent-release facility cannot be used to circumvent the prescribed approval process.

Development and current budget funds must be entered into the SAP system on the date of approval. If an entry is delayed, the relevant official will be required to place a valid explanation on record.

Accountability Push

The measures signal a broader effort by the provincial government to enforce financial discipline and ensure that public money is released and recorded only through authorised channels. Officials say the changes are designed to close loopholes that allowed funds to move without proper scrutiny.

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