ISLAMABAD: The federal government has scheduled a consultative session with provincial representatives on November 18 to discuss the International Monetary Fund’s (IMF) proposed amendments to the National Finance Commission (NFC) Award, sources revealed on Thursday.
According to sources, the meeting — initially planned earlier but postponed due to provincial requests — will focus on the IMF-suggested revisions aimed at reducing the federal fiscal deficit and managing Pakistan’s mounting debt. The Finance Ministry confirmed that the IMF will remain involved throughout the consultative process.
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“The Ministry of Finance has rescheduled the meeting to November 18. If the date remains unchanged, the session will carry crucial discussions on the 11th NFC Award,” sources said, adding that the process could take six to eight months if meetings are held regularly.
Officials revealed that the IMF has urged Pakistan to revise the NFC formula, which currently allocates 57.5% of federal revenues to provinces. The suggested changes could reduce this share to strengthen federal finances. If provincial consensus is not achieved, the government may consider implementing reforms through the 27th Constitutional Amendment.
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Experts warn that altering the NFC Award could trigger political tensions among provinces, yet the government argues that reforms are essential to fulfill IMF conditions and stabilize the national economy.