ISLAMABAD: The government of Punjab in a move to expedite the transfer of development funds ahead of general elections met asked the Federal government to devise a strategy relaxing release of funds for provinces.
Punjab’s Minister for Finance Dr Aisha Ghaus Pasha held a meeting with Adviser to Prime Minister on Finance Dr Miftah Ismail on Friday to take up the issue of slow transfers to provincial governments under the 7th National Finance Commission award amid a glaring mismatch between double-digit growth in tax revenues and sluggish increase in transfers of resources.
Ayesha Ghaus Pasha apprised the adviser of the resource mobilisation efforts being carried out by the provincial government. She said that the provincial government had laid focus on greater revenue generation, as the increased availability of resources was essential to carry out public service delivery.
She also shared with the adviser the key areas of focus of the provincial government and said that provision of federal transfers in a timely manner helps the provincial government in undertaking its projects and programmes as per schedule.
Miftah Ismail appreciated the resource mobilisation efforts of the provincial government and said that the provinces must augment their resources through the provinicial revenues.
He said the federal government fully believed in facilitation to all the provinces in terms of immediate transfer of provincial share in federal revenues. The federal government would continue to follow the same course in future, Dr Miftah added. He said the government was focused on further strengthening of economy and making concerted efforts for achieving growth target for the current fiscal year, adding the government would appreciate efforts and contribution of the provinces for economic consolidation.
It is mention worthy that in the last fiscal year, the federal government had set the provincial surplus target at Rs 339 billion, but instead of giving surpluses, the four provincial governments posted a combined deficit of Rs 163.3 billion.
