7th NFC 'landmark achievement' to empower provinces: minster
ISLAMABAD: Appreciating the 7th National FinanceCommission Award, (NFC), Punjab Minister for Finance Tanveer Ashraf Kaira has said that under the award 57.5 percent resources are being transferred to provinces as compared to only 46.25 percent being transferred previ- ously.
He stated this while chairing a session of a three-day annual general meeting and conference of Pakistan Society of Development Economists (PSDE).
The minister said that the right of provinces to collect General Sales Tax on Services has been graciously accepted by the federal government.
The 7th National Finance Commission (NFC) Award and elements related to fiscal federalism in the 18th Constitutional Amendment are great landmarks in the history of fiscal federalism in Pakistan, he remarked.
He said that functional assignments had also been significantly redistributed in favour of provinces by abolition of Concurrent List from the constitution.
All these are steps would take us to greater empowerment of provinces and will minimize the fiscal imbalance between the federation and provinces, he added.
Kaira said that government and all political parties can take due credit for developing a consensus to bring about these landmark achievements. He said that research plays an important role in the development and growth of any society.
The minister said that federation of Pakistan has been suffering from a trust deficit due to which more resources and functions were vested in the centre and provinces were demanding more resources and functional autonomy. -App