News
Wednesday, August 27, 2008
National Finance Commission constituted
By Sajid Chaudhry
ISLAMABAD: The federal government on Tuesday constituted an 11-member National Finance Commission (NFC) to finalise the 6th National Finance Commission Award in consultation with the four provinces. The commission was formed following its formal approval by acting President Mohammedmian Somroo. Finance Minister Naveed Qamar will be the chairman of the NFC and the four provincial finance ministers - Qamaruz Zaman Kaira (Punjab), Humayun Khan (NWFP), Asim Kurd (Balochistan) and Qaim Ali Shah (Sindh), - its ex-officio members. Adviser to Prime Minister on Economic Affairs Hina Rabbani Khar has been appointed as special member of the NFC along with Saeed Ahmed Qureshi from Punjab, Qaisar Bangali from Sindh, Haji Adeel from NWFP and Gulfaraz as its private members from the four provinces. The NFC Secretariat, situated at the Ministry of Finance, has notified the constitution of NFC with its terms of references (ToRs) under Article 160 (1). According to the ToRs, the commission would finalise the share of the federal and provincial governments’ in the federal taxes, which would be distributed on the basis of population. The NFC would also finalise a new mechanism for provincial borrowing from the federal government and interest payment with revised terms and conditions. The commissiojn would facilitate the provinces to agree on a distribution mechanism for the royalty on crude oil production and surcharge on gas production.
Courtesy DailyTimes