Federal Government to Form 11th NFC Commission for New Financial Award

Islamabad: The federal government has decided to form the 11th National Finance Commission (NFC) to develop proposals for a new NFC Award following the federal budget. According to sources, the Ministry of Finance has sent letters to provincial finance ministers seeking the nomination of technocrat members. Asad Saeed has been nominated from Sindh, while Kaiser Bengali will represent Balochistan. Nominations from Punjab and Khyber Pakhtunkhwa are awaited to complete the commission’s formation.
Sources reveal that provinces are proposing an increase in their share under the new NFC Award. Several working groups will be formed to submit their reports to the commission. The commission will include the Federal Finance Minister, Secretary Finance, and other key officials as expert members.
The commission is expected to begin working on the new award proposals in August. Sindh will likely suggest increasing its share based on population, while Khyber Pakhtunkhwa is expected to demand additional shares for its newly merged tribal districts.
Once fully formed, the commission’s Terms of Reference (ToRs) will be issued. It will address revenue distribution among the federation, provinces, and other regions, as well as tax-related matters. The current (seventh) NFC Award, implemented in 2009, remains in effect. The International Monetary Fund (IMF) will be informed of the formation and progress of the new NFC commission.