Amid financial crisis, center fails to release allocated funds to tribal districts

PESHAWAR: The Khyber Pakhtunkhwa government has been grappling with problems to meet the current expenditure and complete ongoing projects following “dillydally” of the federal government to release the allocated funds to the province.

The financial situation is expected to deteriorate further in next few months as the provincial government has exhausted all its available resources and even diverted development funds to meet the current expenditure. According to sources in the KP finance department, the federal government had reduced funds allocations for tribal districts by Rs25 billion but even the allocated funds are not being released.

In the first four months of the current financial year – July, August, September and October – the federal government has to provide Rs47.9 billion of which Rs25 billion were for current expenditure, Rs10 billion for development programs of merged districts while Rs12.5 billion were for the rapid development program. However, the federal government has released Rs27.5 billion in these four months, which is Rs20.4 billion less than the allocated fund.

The centre has released Rs22.5 billion for current expenditure, Rs2 billion for integrated district development program and Rs3 billion for rapid development program, which makes a total of Rs27.5 billion which has delayed the development program and now it is difficult for the KP to bear the financial burden of the province. Keeping in view the current financial situation of the country, it seems that the center will not be able to release enough funds to the province.

 

Aziz Buneri
Aziz Buneri
Author is a senior journalist and working in the field of journalism since 2004. He covers Financial, Social, Political and regional issues for Pakistan today and Profit. He can reached at [email protected]

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