PM Shehbaz orders high-level review of World Bank report

Prime Minister Shehbaz Sharif on Friday directed the formation of a high-level committee to examine the World Bank’s Strengthening Fiscal Federalism in Pakistan report. The committee will consult provinces and other stakeholders before considering implementable recommendations.

The development comes after a delegation led by Bolormaa Amgaabazar, Country Director for the World Bank in Pakistan, met with Prime Minister Muhammad Shehbaz Sharif in Islamabad today, read a statement released by the Prime Minister’s Office (PMO).

During the meeting, the World Bank’s Country Director presented the report and provided a briefing on its contents.

While presenting the key points of their report, the World Bank delegation informed the premier about their analysis and observations regarding the evolution of fiscal federalism in Pakistan following the 18th Constitutional Amendment and the 7th National Finance Commission (NFC) Award, revenues, expenditures, federal-provincial fiscal relations, institutional coordination, and the use of public resources.

The delegation also presented various policy recommendations in their report, aimed at promoting fiscal discipline, effective use of resources, improvements in service delivery, and effective cooperation between federal and provincial institutions.

Welcoming the delegation, the PM commended Pakistan’s longstanding partnership with the World Bank and praised the institution’s role in Pakistan’s social and economic development.

The prime minister expressed gratitude for the World Bank’s continued support in Pakistan’s development journey.

He stated that the government is steadfastly implementing its reform agenda to stabilise the economy and set it on the path to sustainable growth.

He said that Pakistan’s constitutional federal structure, provincial autonomy, and cooperation and consultation between the federation and the provinces hold fundamental importance for the country’s development and stability.

The prime minister remarked that the analysis presented by the World Bank and the comparative review in light of international experiences are commendable, saying that such studies hold key importance in providing useful guidance in the policymaking process.

He directed the formation of a high-level committee to conduct a detailed review of the report, which will examine the recommendations presented in the World Bank report in consultation with relevant stakeholders, including the provinces, while keeping Pakistan’s constitutional and federal structure in view, so that feasible proposals in the public interest can be considered.

The meeting was also attended by Deputy Prime Minister and Foreign Minister Muhammad Ishaq Dar, Federal Ministers Ahad Khan Cheema and Ahsan Iqbal, Advisor to the Prime Minister Dr Syed Taqdir Shah, Minister of State Bilal Azhar Kiani, and senior government officials.