President constitutes 11th NFC

ISLAMABAD: The President of Pakistan has constituted the 11th National Finance Commission (NFC), which would be chaired by the Federal Minister for Finance.

The Finance Division’s NFC and IGF Policy Wing issued a notification which stated that in pursuance of Clause (1) of Article 160 of the Constitution of the Islamic Republic of Pakistan, and in supersession of its notification No SRO 635(1)/2020 dated the 21st July 2020, the president of Islamic Republic of Pakistan is pleased to constitute the 11th National Finance Commission (NFC) with immediate effect.

The newly-formed NFC will be chaired by the Federal Minister for Finance, with provincial finance ministers from Punjab, Sindh, Khyber Pakhtunkhwa, and Balochistan would serve as members.

Further, four members have been appointed including Nasir Mahmood Khosa (Punjab), Dr Asad Sayeed (Sindh), Dr Musharraf Rasool Cyan (KPK) and Farman Ullah (Balochistan).

Under Clause (2) of Article 160 of the Constitution, the Terms of Reference for the 11th NFC are to make recommendation to the president as to:

(a) the distribution between the Federation and the Provinces of the net proceeds of the taxes mentioned in clause (3) of Article 160 of the Constitution; (b) the making of grants-in-aid by the Federal Government to the Provincial Governments; (c) the exercise, by the Federal Government and the Provincial Governments, of the borrowing powers conferred by the Constitution; (d) issues relating to sharing of financial expense incurred or to be incurred by the Federation in respect of subjects and matters falling within the domain of the Provinces; (e) issues relating to sharing of financial expense incurred or to be incurred by the Federation or the Provinces or both in respect of trans-provincial matters; (f) issues relating to financial expense for national projects to be shared by the Federation and the Provinces; and (g) any other matter relating to finance referred to the Commission by the President.

The Finance Division shall, as per the Rules of Business, 1973, provide secretariat support to the Commission.

The NFC constituted vide Notification No SRO635(1)/2020 dated the 21st July 2020 shall stand dissolved with immediate effect.