Jhagra censures federal govt for reduction in NMD’s uplift funds

PESHAWAR: KP Minister for Finance, Taimoor Saleem Jhagra has censured the federal government for reduction in development funds of erstwhile Federally Administered Tribal Areas (Fata) and said allocation in federal budget for financial year 2022-23 for merged districts was insufficient, even highly difficult to meet the recurring expenditures through allocated amount in newly merged districts.

Speaking at a “post-budget” press conference here at the provincial cabinet room on Tuesday, the minister said the federal government has drastically cut down development expenditures of newly merged districts (NMDs) from Rs 54 billion to Rs 38 billion, which is sheer unjust and highly condemnable.

There was no moral justification with the federal government to cut down the development budget of the ex-Fata region, the minister asserted. He said it is highly unfortunate that the PSDP book was yet not provided to Khyber Pakhtunkhwa.

The minister criticised that measures of the present imported federal coalition government is completely incomprehensible, even, he said, the IMF is also astonished over initiatives of present rulers.

He revealed the incumbent central government had so far obtained a hefty loan of Rs 300 billion, while it is intending to secure further debts of Rs 500 billion.

He claimed the fiscal deficit had been reduced by 70 percent from 77 percent in the previous federal government.

Taimoor Jhagra claimed that provincial public representatives had played a vital role in reduction of development funds of merged districts. He said KP was provided less funds in development and current budget.

The expenditures of newly merged districts have exceeded Rs 59 billion in just eleven months, despite the fact that the federal government had allocated Rs 50 billion for the former Fata region in the fiscal budget, the minister said. He added that the budget allocated for the former Fata region was insufficient even to pay salaries.

Taimoor Jhagra asked the government to allocate Rs 150 billion funds for newly merged districts. Furthermore, he demanded funds for the ex-Fata region should be enhanced in next the National Finance Commission Award. He also asked the federal government to release net hydel profit (NHP) amounts on a monthly basis.

Touching upon the budgetary measures and allocations, Jhagra said the provincial government has made record allocation of Rs 418.2 billion under Annual Development Programme 2022-23, including Rs 319.2 billion for settled areas and Rs 99 billion for newly merged tribal districts.

He said Insaf Education Card programme worth Rs 1 billion would be introduced in the province that could ensure a poor student to study in leading institutions of the province. The KP budget is totally apolitical, the minister said.

Similarly, he informed medical colleges would be established in Dir, Mansehra and Buner under public-private partnership. He said sanction has been given for construction of DI Khan, Dir and Swat Motorway Phase-II.

A hefty amount of Rs 25 billion has been allocated for the next financial year to create job opportunities and overcome unemployment issues in the province, the minister said.

The minister said as many as 481 schemes would be completed in the outgoing fiscal year while 556 schemes would be completed in the upcoming financial year 2022-23.

To a question regarding the province becoming under high debts-trapped, Jhagra said that the loans burden on Khyber Pakhtunkhwa is around four to five percent, saying that loans were obtained on a requirement and needy basis. He said the provincial government has obtained loans for mega development projects.

He claimed the provincial revenue receipts have escalated at Rs 75 billion from previous Rs 30 billion during the last three years.

Replying to another question, the minister said that the provincial government has allocated a hefty amount for local governments in the next fiscal budget. He added that not a single government had spent money at union council level, but the present PTI government has spent funds at grassroots level.

Copyright Business Recorder, 2022