KP War on Terror Fund Rs799 Billion Reaches Province Under 1% NFC Share
Khyber Pakhtunkhwa gets a bigger share every year, but officials say tracking how the money is spent remains difficult
Khyber Pakhtunkhwa – (Staff Reporter/Web Desk) – The KP war on terror fund Rs799 billion figure shows how much money Khyber Pakhtunkhwa has received from the federal government since 2010-11, according to official documents. The province still faces a steady threat from militant attacks.
The federal government released the money to cover economic, infrastructure and other financial losses caused by terrorism. The exact total is Rs799.359 billion, covering the period from 2010-11 to September 2026.
The Finance Department says the province receives this allocation every year. Other provinces also get funds under the same arrangement.
The system began with the 7th National Finance Commission Award, which was agreed in December 2009 and put in place from July 2010. Under this award, KP gets an extra 1 percent share from the federal divisible tax pool. The share recognises the losses and security burden linked to terrorism.
The yearly releases have grown a lot. KP received Rs112.296 billion in 2024-25. In 2025-26, the release went up to Rs128.234 billion.
For the current year, 2026-27, the allocation is estimated at Rs149.076 billion. In the first two and a half months of the year, Rs23.069 billion has already been released.
There is one big problem, though. Sources say the money has no separate head in the provincial Consolidated Fund. It goes into the provincial account along with other revenues, so it is hard to follow how it is spent.
This matters because people want to know whether the money reaches the areas that have suffered most. A clear expenditure head would make that question much easier to answer.
The KP Finance Department says the size of the allocation depends on Federal Board of Revenue (FBR) collection targets. The province gets the full amount only when the federal revenue targets are met.
The funding figures come at a time of serious violence. A report by the Centre for Research and Security Studies, cited by Geo.tv, said KP recorded 475 violence-related deaths and 151 violent incidents in the second quarter of 2026. That made it the worst-hit region in the country during that period.
The past few weeks have also been tense. A militant attack on Kohat Police Lines in September killed 22 people, including 16 police officials.
Later that month, a suicide attack on an anti-smuggling check post in Dera Ismail Khan killed 13 people, among them women and a child.
Security forces have kept up intelligence-based operations across the province. In late September, three militants were killed in North Waziristan. Other operations have targeted militant positions along the Afghan border, according to security sources and the military’s media wing, ISPR, as reported by Geo.tv.
Spending on policing has also gone up. Finance Adviser Muzzammil Aslam said the police operational budget was raised from Rs15 billion to Rs30.2 billion.
He added that the sanctioned strength of the provincial police has been increased to 139,318 posts.
The extra 1 percent share was created because of the unusual security and economic pressure on the province. With the KP war on terror fund Rs799 billion now on record, many people may ask for clearer reporting on how every rupee is used.
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