Murad Ali Shah in Lahore to attend NFC meeting

Chief Minister of Sindh reached Lahore to attend the meeting of the National Finance Commission Award Working Group as the finance minister of the province.

Lahore is hosting the two-day meeting of the NFC Working Group for a preliminary dialogue and proposals for the next financial commission award.

Chief Minister of Sindh attending the session along with the finance ministers and officials of other provinces.

The provinces will submit their proposals for the NFC meeting scheduled in October this year.

Three small provinces of Pakistan have reservations over delay in the new NFC Award, as the period of the previous financial award has lapsed on June 30, 2015.

The central government, however, holds the provinces responsible for delay in announcement of the new finance award.

Murad Ali Shah, who was in Dubai to discuss the matters of the government of Sindh with Dubai based former president Asif Ali Zardari, landed in Lahore from Dubai.

Sindh chief minister after paying a visit at Data Darbar in Lahore reached Governor House this morning to have a breakfast with Governor of Punjab Rafique Rajwana.

National Finance Commission Award

The National Finance Commission Award is a planned economic program enacted since 1951. It distributes monetary resources among the provinces and the centre. In the 7th NFC Awar in year 2010, for the first time factors other than population also considered for distribution among the provinces.

The distribution was based on 82 per cent weightage to population, 10.3 per cent to poverty, 2.5 per cent to revenue generation, 2.5 per cent to revenue collection and 2.7 per cent to the area.

The provinces’ share in the divisible pool increased from 47.5 per cent to 56 per cent in the first year and 57.5 per cent afterwards.

Under the award, Balochistan’s share in the provincial pool was increased to 9.09 per cent. Punjab was allocated a share of 51.74 per cent, Sindh 24.55 per cent and the NWFP 14.62 per cent.