BISP may be devolved to provinces, says Kohistani

State Minister Kheal Das Kohistani says the government is considering devolving BISP to the provinces, but not abolishing it. He says any decision will be taken after consultations with coalition partners.

ISLAMABAD: Minister of State for Religious Affairs and Interfaith Harmony Kheal Das Kohistani said on Friday that the federal government is considering transferring the Benazir Income Support Programme (BISP) to the provinces, while clarifying that there is no proposal to abolish the programme altogether.

Speaking to reporters in Matiari, Kohistani said the issue under discussion relates to the programme’s administrative structure rather than its continuation. He said the possibility of devolving BISP had come under discussion after the 18th Constitutional Amendment, under which a number of ministries and departments were shifted from the Centre to the provinces.

BISP, launched in 2008, is Pakistan’s main social protection and poverty reduction programme. It provides financial assistance to more than 10 million low-income families, with women among its principal beneficiaries.

Kohistani said some provinces had also supported the idea of handing over BISP to provincial governments. He added that the federal government would take any decision on the matter only after consulting its coalition partners.

Debate over fiscal responsibilities

The minister’s remarks followed reports a day earlier that Pakistan had provided written assurances to the International Monetary Fund to gradually end the current electricity subsidy arrangement and replace it with a targeted support system.

Under the proposed mechanism, The News reported, a new targeted subsidy framework for low-income electricity consumers would be introduced from January 2027 using data obtained from BISP.

The discussion over BISP’s future administrative setup also comes against the backdrop of broader disagreements between the Centre and provinces over expenditure responsibilities.

According to The News, provinces — particularly Sindh and Khyber Pakhtunkhwa — had strongly opposed the federal government’s proposal during a National Finance Commission session in December last year to move selected expenditures to provincial budgets.

Federal authorities had argued that larger transfers to the provinces, while the Centre continued to bear major spending obligations, were contributing to wider fiscal deficits and increasing borrowing pressure on the federal government.

The same report said the provinces rejected suggestions that they should assume financial responsibility for BISP, the Higher Education Commission and development schemes traditionally financed through the Public Sector Development Programme.

Kohistani said the federal government would make any decision on the matter only after consultations with coalition partners.

The minister’s statement indicates that consultations are still underway and that no final decision has yet been announced on whether BISP will remain under the federal government or be devolved to the provinces.