In the 11th National Finance Commission (NFC) meeting, it was decided to form a working group for resource distribution between the federal government and provinces. Instead of financial demands, the federal government requested detailed expenditure reports from the provinces, which Sindh refused to provide.
Sources said the Federal Board of Revenue (FBR) opposed giving 5% of tax collections to provinces, but there was no discussion about reducing the provinces’ funds. The meeting was attended by the finance ministers of Sindh, Khyber Pakhtunkhwa, Balochistan, Punjab, and other NFC members.
The Ministry of Finance briefed participants on the federal financial situation, after which provinces also presented details of their fiscal positions. In addition to the working group on resource distribution, a separate group will address the merger of former FATA into Khyber Pakhtunkhwa and determine its funding.
The Federal Finance Minister said the NFC meeting is an important platform for fulfilling constitutional responsibilities and fostering cooperation. He emphasized the need for open dialogue and listening to the provinces’ viewpoints to reach joint decisions. According to KP Finance Adviser Mazamil Aslam, there has been no reduction in provincial shares, and the meeting provided a constructive environment where all concerns were heard.
The NFC’s role is crucial for ensuring financial stability, fair resource distribution, and sustainable economic growth, while maintaining transparent and collaborative decision-making in the national interest.
Comments are closed, but trackbacks and pingbacks are open.