The Muttahida Qaumi Movement-Pakistan (MQM-P) has proposed a change to Pakistan’s fiscal framework to address persistent delays in local government funding, urging that district and local bodies’ financial shares be disbursed directly through the National Finance Commission (NFC) mechanism rather than relying on provincial transfers. MQM-P leaders argue that the delay and discretionary control by provincial governments have hindered timely funding for districts, weakening service delivery and undermining constitutional devolution mandates under Article 140A.
According to the party’s draft constitutional amendment, local bodies should receive their revenue share directly from the federal divisible pool — the same mechanism used to allocate funds to provinces — to ensure predictable and equitable financing without provincial interference. This proposal comes amid long-standing debates over fiscal decentralisation and the role of the NFC in equitably distributing revenue across federal, provincial and local tiers of government. MQM-P officials maintain that direct NFC disbursement will strengthen grassroots governance and reduce fiscal bottlenecks that currently hamper district development and public service delivery.