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ISLAMABAD, Dec 04 (APP): Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb on Thursday chaired the inaugural meeting of the 11th National Finance Commission (NFC), saying the gathering reflected the federation and provinces’ shared resolve to fulfill a key constitutional responsibility.
According to press release issued by finance ministry, from Sindh, the commission meeting was attended by Chief Minister, Syed Murad Ali Shah, and Dr Asad Sayeed, Member NFC; from Khyber Pakhtunkhwa, CM Muhammad Sohail Afridi, and Dr Musharraf Rasool Cyan Member NFC; from PunjabMian Mujtaba Shuja ur Rehman, Minister for Finance and Nasir Mahmood Khosa, Member NFC; and from Balochistan Mir Shoaib Nosherwani, Minister for Finance and Mahfooz Ali Khan, Member NFC attended the meeting.
The meeting was also attended by Muzammil Aslam, Advisor to CM for Finance, government of Khyber Pakhtunkhwa on special invitation. The provincial Finance Secretaries also attended the meeting.
In his opening remarks, Senator Muhammad Aurangzeb extended a warm welcome to all participants and highlighted the constitutional importance and collaborative spirit underpinning the NFC process.
He emphasized that the federal government, as directed by the Prime Minister, was keen to convene the inaugural meeting of the 11th NFC without delay. While the session had been postponed earlier due to the devastating floods affecting Punjab, Khyber Pakhtunkhwa and Sindh, the Minister noted that today’s gathering reflected a shared resolve to fulfil a vital constitutional responsibility.
He stressed the government’s commitment to transparent and sincere dialogue, reaffirming that the federal government was present to listen to the provinces and work collectively in the national interest.
Aurangzeb commended the provinces for their cooperation in signing the National Fiscal Pact and acknowledged their efforts in achieving mandatory fiscal surpluses to support Pakistan’s compliance with IMF requirements.
He noted that despite external threats and natural disasters, the federal government and provinces had demonstrated unity, resilience and determination, and expressed hope that the same spirit would guide the 11th NFC deliberations.
Senator Aurangzeb underscored the critical role of the NFC in ensuring equitable distribution of financial resources, promoting fiscal sustainability and supporting long-term economic growth.
He voiced confidence that the Commission would engage in meaningful and inclusive dialogue aimed at delivering a fair and forward-looking NFC Award.
The Chief Minister of Sindh expressed his gratitude to the federal government for holding the first meeting of the 11th NFC which was initially postponed due to the devastating floods.
He appreciated the prompt notification of the 11th NFC in August 2025 after the expiry of the 10th NFC Award in July 2025. Shah agreed with the federal finance minister that moving forward with 11th NFC with consensus was very important and highlighted that Sindh has an unwavering commitment to the prosperity, unity and progress of Pakistan.
He further underscored that consensus can only be developed by deliberating within the forum of the National Finance Commission and that this Commission should adhere to its mandate in order to move forward.
The Chief Minister Khyber Pakhtunkhwa expressed his gratitude to the federal government for holding this meeting and expressed that a strong federation and strong provinces will guarantee a strong and united Pakistan. He underscored the sacrifices of the people of Khyber Pakhtunkhwa province made in the war on terror, which unfortunately has resurfaced again.
He further expressed the hope that the 11th National Finance Commission will address the ultra vires of the 7th NFC since June 2018 and include the population and other variables of the Newly Merged Districts in the province of Khyber Pakhtunkhwa and update the share of the province to give them due representation and requested the other provinces for their positive response in this matter.
He highlighted the importance of bringing the 7th NFC Award in compliance with the Constitution by including the complete province of Khyber Pakhtunkhwa.
Mian Mujtaba Shuja ur Rehman was also thankful to federal government for holding this meeting and agreed for the need of consensus, however, consensus building will take a lot of effort on everyone’s part. He emphasized that importance of equitable resource distribution and consistency of policies between the Federal and Provincial Governments. He concluded by expressing hope that the Commission will be successful with mutual agreement.
Mir Shoaib Nosherwani also echoed sentiments of federal finance minister and CM Sindh and stated that CM Balochistan has instructed that there should be consensus and that cooperation of Balochistan with the federation and the provinces has always been there and going forward, Balochistan will continue this path of cooperation and consensus.
He underscored the support of Balochistan in strengthening the Federation through quoting examples of Sui Gas, Saindak and Reqo Diq projects.
During the meeting, the participants held general discussion on the strategy for the 11th NFC Award deliberations. This was followed by detailed presentations from all provinces – Balochistan, Punjab, Khyber Pakhtunkhwa and Sindh – as well as the federal government, outlining their respective fiscal positions and priorities.
These exchanges contributed to developing a shared understanding of the economic landscape and the challenges that lie ahead.
The Commission also discussed the proposed schedule and time-line for future meetings and agreed to initiate the formation of technical sub-groups that will undertake work on specific mandates relevant to the NFC’s functions.
It was also unanimously decided that a Sub-group on the merger of former FATA/ Newly Merged Districts, and its share in the divisible pool, will be constituted which will facilitate early formulation of its recommendations for the NFC by mid-January 2026.
The meeting concluded with a reaffirmation of the collective commitment to steering the 11th NFC process with transparency, professionalism, mutual respect & collaboration.
The Commission resolved to continue its work through a structured series of meetings and technical consultations in the coming months, with the shared objective of achieving an equitable and sustainable NFC Award for the people of Pakistan.