K-P to approach Centre for Rs53 billion dues

The Khyber-Pakhtunkhwa government is gearing up to reclaim its outstanding dues, totaling Rs53 billion over the past two years, from the federal government.

This decision came to light during discussions led by Muzamil Aslam, Advisor to the Chief Minister on Finance, focusing on budgetary matters concerning the newly integrated districts within the province. Aslam shed light on the commitment made by the federal government in 2018 following the merger, promising an annual allocation of Rs66 billion for employee salaries and an additional Rs100 billion earmarked for expediting development projects in the region.

However, these pledges remained unfulfilled, exacerbating financial strain on the province as its responsibilities expanded without commensurate resource growth.

Leading several meetings, Aslam reiterated the administration’s determination to invigorate the mining and mineral sector through strategic incentives aimed at attracting potential investors.

On March 17, Muzamil Aslam disclosed a disconcerting 50% decline in tax collection under the interim provincial government’s stewardship. He challenged the narrative propagated by the caretaker chief minister, refuting claims of an empty treasury.

While acknowledging that the treasury wasn’t completely depleted, he pointed out the significant drop in tax revenues during the interim government’s tenure. Aslam criticized the discontinuation of the Sehat Card initiative despite ample funds available, also highlighting the substantial loans accumulated by the previous administration.

With regard to the newly amalgamated districts, Aslam lamented the failure to secure promised funds from the Centre, resulting in a notable increase in salaries, burdening the provincial coffers. He rebuked both the PDM and the caretaker government for their inaction in addressing this issue, emphasizing the pending dues for critical healthcare initiatives like the Sehat Card Plus.

Published in The Express Tribune, March 21^st, 2024.