KP financial position is satisfactory, Rs164 to be released for uplift projects


Peshawar—Advisor to Chief Minister for Information and Public Relations, Mushtaq Ahmed Ghani refuting media reports regarding financial crunch said on Saturday that the financial position of the province is satisfactory and sufficient resources are available to meet the requirements of the Provincial and District governments. The finance department has released a sum of Rs 194 billion for developmental projects which is inclusive of Rs 23 Billion for salaries of employees in the devolved departments. Additionally, Rs 5 Billion has been released for operational expenditures of the devolved departments.
Similarly, he said, more than Rs 5 Billion have been released for developmental expenditures in three tiers of the local governments and Rs 400 million have been provided to the Local Councils as grants. Further releases for three tiers of the local governments were planned for later this month.
Mushtaq Ahmed Ghani said that a major chunk of resources was transferred by the central government, therefore, the financial management of the province remained dependent, to a certain extent, on the uncertain and erratic transfers by the federal government.
In a meeting held most recently with the Federal Minister for Water and Power, the provincial government put forward a request to immediately transfer Rs 15 billion as arrears of Net Hydel Profits, he added.
These arrears were agreed to be transferred to the provincial government in an MOU signed between the federal and Provincial governments. He maintained that the MOU has also been endorsed by the Council of Common Interests (CCI).
However, the amount has not been transferred to the provincial government despite lapse of more than three months of the current fiscal year, he added.
While commenting on the performance of the finance department, Mushtaq Ghani clarified that significant improvements have been made in improving the quality of governance over the last three years by providing adequate financial resources for priority services sectors.
The provincial governments spokesman said that steps have been taken to ensure provision of timely and adequate funds to the health sector. Over the last three years, unprecedented resources have been provided to the social services sectors. Mushtaq Ahmed Ghani said that funds made available to schools for missing facilities over the last three years were unmatched in the province.
Similarly, sufficient funds have been provided for creation of posts of unprecedented number of teachers from primary schools.—APP