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Pakistan Sets Dec. 4 NFC Session With IMF Monitoring

IMF monitoring signals scrutiny of proposed changes to the 7th Award.

Overview

  • The federal government has called the 11th NFC’s opening meeting for December 4, with the IMF expected to monitor proceedings, according to local reports.
  • Federal Finance Minister Muhammad Aurangzeb will chair the introductory session, and provincial finance ministers have been invited to attend.
  • Technocrats expected to participate include Nasser Mahmood Khosa (Punjab), Asad Sayeed (Sindh), Mehfooz Ali Khan (Balochistan), and Musharraf Rasool (Khyber Pakhtunkhwa).
  • According to sources, federal proposals under discussion include cutting the provinces’ current 57.5% share, revising population-based allocations, adding weight to low density, tax effort and forest area, and shifting BISP and parts of the development plan to provinces.
  • Khyber Pakhtunkhwa has sought to raise its share from 14.62% to 19.62% after the tribal districts’ merger and opposed any reduction in the collective provincial share, while the meeting is expected to set sub-groups and a roadmap that could extend talks for months, according to local reporting.