11th NFC Meeting Chaired by Finance Minister Orungzeb Reviews Financial Situation

ISLAMABAD: The 11th meeting of the National Finance Commission (NFC) is underway under the leadership of Finance Minister Muhammad Aurungzeb.

The meeting is attended by the Chief Ministers of Sindh and Khyber Pakhtunkhwa as provincial finance ministers, while the finance ministers of Punjab and Balochistan, along with private members, are also present.

During the session, the federal finance ministry will present a briefing on its financial position. Each of the four provinces will also provide a ten-minute briefing on their respective financial status. The meeting will discuss the schedule and timelines for finalizing the NFC award in upcoming sessions.

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Separately, the Ministry of Planning has submitted two new proposals for resource distribution to the Prime Minister. The first proposal suggests a 2.5 percent cut from divisible revenues for counter-terrorism, water security, civil armed forces, and grants for Azad Kashmir and Gilgit-Baltistan, leaving 57.5 percent for the provinces and 42.5 percent for the federal government.

The second proposal recommends deducting expenditures for the Benazir Income Support Program and the Higher Education Commission before calculating divisible revenues, which could increase federal resources by 11-12 percent by 2030.

The ministry has also suggested reducing the weight of population in revenue sharing among provinces while giving more consideration to revenue generation, fertility, and forest cover.

Finance Minister Orungzeb stated that the meeting would listen to the provinces and present the federal position while emphasizing a “Pakistan First” approach.