Balochistan Demands Equity in New NFC Talks: Popalzai Urges Reform for Balanced Development
Chehra WebDesk
Karachi,— As Pakistan prepares for the upcoming National Finance Commission (NFC) discussions, Sardar Shoukat Popalzai, President of the Balochistan Economic Forum, has called for a transformative approach to fiscal federalism that prioritizes equity, responsibility, and national cohesion.
In a detailed statement, Popalzai emphasized that the NFC should not become a battleground between the federation and provinces, but rather a platform to address Pakistan’s deep-rooted fiscal challenges. He praised the 7th NFC Award of 2010 for its inclusion of poverty, inverse population density, and revenue generation in the resource distribution formula, which notably uplifted Balochistan’s share to 9.09%.
However, he noted that fifteen years later, both federal and provincial governments face fiscal constraints. Provinces have failed to develop robust tax bases, relying heavily on guaranteed transfers. Balochistan, despite its vast mineral wealth, coastline, and strategic assets like Gwadar Port, remains the poorest region in Pakistan, with over 70% of its population below the poverty line and limited access to basic services.
Popalzai proposed a revised NFC formula that moves beyond population-centric metrics and incorporates:
- Inverse population density and geographic spread
- Poverty and human development indicators
- Revenue effort and tax system strengthening
- Climate vulnerability and security expenditure
- Demographic performance incentives
He argued that such reforms could justifiably raise Balochistan’s share to 15–20%, not as an act of generosity but of national interest and fairness.
Popalzai also stressed that provinces must take responsibility for improved service delivery, efficient taxation, and fiscal decentralization. He warned against treating the NFC as a zero-sum game and urged all stakeholders to embrace a reformed, equitable framework that strengthens the federation and unlocks Balochistan’s economic potential.
“Pakistan cannot afford to deny Balochistan its due any longer,” he concluded.
