TP Report
PESHAWAR: Chief Minister Khyber Pakhtunkhwa, Muhammad Sohail Afridi, has expressed serious concern over the abrupt cancellation of a high-level meeting convened by the federal government to deliberate on the prevailing national and regional crisis. The meeting, which was to bring together provincial leadership, was cancelled without explanation, raising questions about the federal government’s commitment to cooperative federalism and coordinated policy response. The Chief Minister noted that despite profound political differences and sustained political victimization faced by Pakistan Tehreek-e-Insaf over the past three years, the provincial government had taken a principled decision to participate in the meeting in the larger national interest. He underscored that this decision was made notwithstanding the treatment meted out to former Prime Minister Imran Khan, his spouse Bushra Bibi, his family members, party leadership, and workers, which, he stated, has few parallels in the country’s political history. Highlighting the evolving regional situation, particularly tensions involving Iran, Israel, and the United States, the Chief Minister emphasized that the implications for Pakistan are significant and far-reaching. He expressed concern that, despite the gravity of the situation, the federal government has not meaningfully engaged the public or Parliament, nor provided a transparent policy direction. He stressed that critical national decisions are being taken without adequate consultation, limiting public awareness and institutional alignment. The Chief Minister reiterated that decisions of national consequence extend beyond any single family or institution and have implications for the entire country. In this context, he emphasized the importance of inclusive governance and the need to take all stakeholders into confidence. He further noted that while Imran Khan received a clear public mandate, neither he nor his party has been engaged in deliberations related to key national decisions, which raises concerns regarding democratic inclusivity. Turning to intergovernmental fiscal relations, the Chief Minister raised serious concern that a scheduled meeting of the committee on the Accelerated Implementation Programme (AIP) will not proceed, as the federal side has conveyed its inability to attend, which he said reflects a lack of seriousness in addressing the province’s financial concerns. Under the Accelerated Implementation Programme (AIP) for the merged districts, the Chief Minister stated that the federal government had committed PKR 100 billion annually for 10 years. However, he noted that only Rs 168 billion out of the committed Rs 700 billion has been released to date, leaving Rs 532 billion outstanding, with no allocation made in the current fiscal year. He added that the provincial government has extended bridge financing amounting to PKR 26 billion from its own resources to sustain development activities in the merged areas. He stated that the share of the merged districts has not been adequately incorporated into the NFC framework, which he termed inconsistent with constitutional provisions. He further stated that approximately Rs 964 billion due to Khyber Pakhtunkhwa and the merged districts over the past eight years has not been allocated accordingly. Out of this amount, he added, Punjab received Rs 567.9 billion, Sindh received Rs 278.1 billion, and Balochistan received Rs 118.1 billion, which he said rightfully belonged to Khyber Pakhtunkhwa and the merged districts. On economic management and public expenditure, the Chief Minister highlighted that the Government of Khyber Pakhtunkhwa has proactively implemented austerity measures, including reductions in fuel usage for public officials in addition to the reduction initiated during the COVID-19 period, which continue to remain in place. Additional measures include restrictions on the procurement of new vehicles, strict controls on foreign travel subject to cabinet approval, and a shift toward virtual meetings to conserve resources. In contrast, he noted that the federal government has incurred over USD 5 billion in debt over the past seven months, while continuing with high-value expenditures, including the procurement of luxury aircraft and the hiring of pilots on 70,000 USD salaries. He stated that such actions raise concerns about fiscal prioritization, particularly in a context where economic pressures on citizens are intensifying. The Chief Minister observed that key economic indicators reflect a challenging outlook. He noted a decline in GDP growth from 6.1 percent prior to the change in government in 2022 to below 3 percent now, contraction in industrial activity, closures within the textile sector, a widening trade deficit exceeding USD 20 billion, declining exports, increasing outward migration of youth due to limited economic opportunities, and stress within the agricultural sector affecting farmers’ livelihoods. He further highlighted the rising cost of living, noting that fuel prices have increased sharply, with petrol reaching approximately PKR 321 per litre, significantly increasing the financial burden on citizens. He contrasted this with the previous government period, when petrol prices were around PKR 150 per litre despite higher global oil prices in the range of USD 117 to 120 per barrel, compared to roughly USD 85 per barrel currently. He emphasized that this disparity underscores the need for more effective economic management and targeted relief measures to protect the public from inflationary pressures. Chief Minister Muhammad Sohail Afridi reaffirmed that, despite prevailing challenges, the Government of Khyber Pakhtunkhwa remains committed to national stability and is prepared to contribute constructively in times of crisis. He emphasized, however, that the burden of sacrifice must be shared equitably across all federating units, particularly in financial terms. He further urged the federal government and relevant institutions to adopt a more transparent, consultative, and inclusive approach by engaging Parliament and the public in decision-making processes, and to take timely and coordinated measures to address the country’s evolving challenges.
