ISLAMABAD: The inaugural session of the 11th NFC was chaired by Federal Finance Minister Senator Mohammed Aurangzeb at the Finance Division. The meeting marked the beginning of a crucial process to review and negotiate the allocation of financial resources among Pakistan’s provinces.
Attendees included key provincial leaders: Syed Murad Ali Shah, Chief Minister of Sindh, Dr. Asad Sayeed, Member NFC; Khyber Pakhtunkhwa’s Chief Minister Muhammad Sohail Afridi and NFC Member Dr. Musharraf Rasool Cyan; Punjab’s Finance Minister Mian Mujtaba Shuja ur Rehman, along with Member NFC Nasir Mahmood Khosa; and Balochistan’s Finance Minister Mir Shoaib Nosherwani and NFC Member Mahfooz Ali Khan. The meeting was also attended by provincial Finance Secretaries and special invitee Muzammil Aslam, Advisor to KP’s Chief Minister on Finance.
The gathering opened with a recitation of the Holy Quran, setting a tone of solemnity and commitment. In his opening remarks, Senator Aurangzeb welcomed all participants and emphasized the constitutional significance of the NFC process. He highlighted that despite delays caused by devastating floods affecting Punjab, Khyber Pakhtunkhwa, and Sindh, the collective resolve to proceed with the 11th NFC was strong.
The Minister stressed the importance of transparent, inclusive dialogue, reaffirming the government’s commitment to work collaboratively with provinces for the nation’s betterment. He commended the provinces for their cooperation in signing the National Fiscal Pact and their efforts in maintaining fiscal discipline, which support Pakistan’s compliance with IMF standards.
Aurangzeb further highlighted the unity and resilience demonstrated by the federal government and provinces amid external challenges and natural disasters. He expressed confidence that the NFC would foster equitable resource distribution, promote fiscal sustainability, and support long-term economic growth, aiming for a fair and forward-looking NFC award.
Provincial Leaders’ Perspectives
Sindh’s Chief Minister, Murad Ali Shah, expressed gratitude for the timely convening of the NFC, especially after the postponement due to floods. He emphasized Sindh’s unwavering commitment to national progress and stressed that consensus can only be achieved through open deliberation within the NFC framework.
Khyber Pakhtunkhwa’s Chief Minister appreciated the Federal Government’s efforts and underscored the importance of a strong federation. He also highlighted the sacrifices made by KP’s people in the War on Terror, noting that their contributions should be reflected in resource sharing. Aurangzeb called for addressing issues related to the 7th NFC, particularly including the population and other variables of KP’s Newly Merged Districts to ensure fair representation and updating of the province’s share.
Mian Mujtaba Shuja ur Rehman reaffirmed the necessity of consensus and emphasized equitable resource distribution and policy alignment between federal and provincial levels, expressing hope for a successful collaborative process.Balochistan’s representative, Mir Shoaib Nosherwani, echoed the importance of consensus, highlighting Balochistan’s support for national projects like Sui Gas, Saindak, and Reko Diq. He reaffirmed Balochistan’s commitment to cooperation and strengthening the federation.
Discussion and Future Planning
Participants engaged in detailed discussions on the strategy for the NFC award negotiations, supported by presentations from all provinces and the federal government outlining their fiscal priorities and challenges. The dialogue fostered a shared understanding of Pakistan’s economic landscape.
The meeting also laid out a schedule for upcoming sessions and agreed to establish technical sub-groups to focus on specific issues. Notably, a dedicated subgroup on the merger of FATA and Newly Merged Districts was formed to expedite recommendations, with a target to present proposals by mid-January 2026.
Closing Remarks
The session concluded with a collective reaffirmation of commitment to the transparent and collaborative process. The NFC intends to continue its work through successive meetings and technical discussions, aiming to deliver an equitable and sustainable financial framework for Pakistan’s provinces and its people.
