KMC wants govt to double monthly grant

Corporation has no funds to pay salaries

KARACHI: The Karachi Metropolitan Corporation (KMC) has requested the provincial government to enhance the monthly grant-in-aid from Rs500 million to Rs1 billion.

In a letter addressed to the finance and local government secretaries last month, administrator Shoaib Ahmed Siddiqui referred to the deteriorated financial position of KMC. He said that the emergent expenditure on account of non-salary, daily expenses including petrol, gas and medicine has created further problems.

Siddiqui said the enhancement of salaries and pensions by the government has increased the salary expenditure of KMC to Rs1.3 billion, while the 20 per cent enhancement of Octori, Zila Tax of KMC comes to Rs892 million.

Read: Unpaid wages: KMC ordered to pay salaries, pension

Siddiqui said the matter is still pending before the finance department. The amount does not include KMC’s share in motor vehicle and property tax being collected from Karachi.

Published in The Express Tribune, September 6^th, 2015.