KP hosts seminar on NFC Award, CM Gandapur demands new formula

The Khyber Pakhtunkhwa Finance Department organized a seminar titled “Policy Dialogue on NFC and Way Forward,” bringing together leading economists, former finance ministers, international organization representatives, parliamentarians, and media professionals to discuss the pressing need for a revised National Finance Commission (NFC) Award.
Notable experts such as Shabbar Zaidi, Ashfaq Hussain Jan, Qaiser Bengali, Hassan Khawar, Saqib Sherani, Asad Umar, Umar Ayub, and Dr Zubair shared insights into the existing flaws in the NFC Award and the urgency of introducing a new, equitable formula. Participants lauded the KP government’s initiative in facilitating the crucial discussion.
Chief Minister Ali Amin Gandapur attended the seminar as the chief guest and underscored the importance of the Constitution as a social contract ensuring citizens’ fundamental rights.
He lamented repeated violations of constitutional provisions, warning that failure to uphold commitments erodes public trust and breeds discontent.
Addressing the fiscal disparities faced by KP, CM Gandapur highlighted that the province’s population share in NFC distribution had risen from 14% to 19.6% following the merger of erstwhile tribal areas.
He criticized the federal government for failing to honor the commitment of providing Rs 100 billion annually for the development of these areas, noting that KP had received only Rs 132 billion instead of Rs 600 billion over six years.
CM KP also pointed out that operational expenses for merged districts had been underfunded, receiving only Rs 66 billion annually instead of Rs 88 billion.
The Chief Minister stressed the province’s economic contributions, including maintaining 45% of the country’s forests and supplying cheap electricity and gas while being forced to purchase energy at higher rates.
He asserted that KP was owed Rs 2,000 billion in net hydropower profits from the federal government and vowed to recover every rupee. CM Gandapur also called for allocating NFC shares based on forest area, as practiced in India, and demanded an immediate revision of the NFC formula.
He warned that if the federal government failed to announce a new NFC Award by April, KP would take decisive action in May.
Vowing to fight for the province’s rights, the Chief Minister declared his readiness to take the case to the Supreme Court and urged the Chief Justice of Pakistan to deliver a fair and timely verdict.
He called upon the people of KP to stand with him in this struggle, affirming that he would lead the charge for their constitutional entitlements.
The seminar concluded with renewed calls for financial justice, as the KP government reiterated its commitment to pursuing all legal and political avenues to secure its rightful share in national resources.