Key Takeaways
- Federal Minister for Law and Justice Senator Azam Nazeer Tarar discussed GB's financial future.
- GB Assembly approved a financial agreement similar to AJK’s arrangement.
- The federal government is considering GB’s inclusion in the NFC award.
Federal Minister for Law and Justice Senator Azam Nazeer Tarar has initiated consultations on the constitutional and legal status of Gilgit-Baltistan (GB), with a focus on providing the region a share in the National Finance Commission (NFC) award.
The federal government currently provides annual financial grants to GB, but successive governments in the region have long demanded a share in the NFC award to address the region’s financial needs.
During a meeting chaired by Senator Tarar, GB Chief Minister Amjad Hussain Advocate and Leader of the Opposition Hafiz Hafeezur Rehman were invited to discuss GB’s future administrative and constitutional arrangement.
The meeting, attended by officials from GB, the ministries of defence, foreign affairs, and Kashmir Affairs and GB, as well as the GB Council, reviewed constitutional, legal, financial, and administrative issues.
The GB Assembly unanimously approved a proposed financial agreement between the federal and GB governments, modelled on the financial arrangement between the federal government and Azad Jammu and Kashmir (AJK).
Chief Minister Amjad Hussain Advocate moved the proposal in the assembly, which had already been approved by the GB cabinet.
The federal finance division raised an objection that GB could become a member of the NFC only after a constitutional amendment, as the region is not a constitutional part of Pakistan.
As a result, the federal government is considering an arrangement similar to the one in place for AJK, subject to approval by the GB Assembly and adoption by the federal government.
The arrangement would remain in force until GB becomes a constitutional part of Pakistan and is included in the NFC.
GB faces a financial shortfall of around Rs17 billion against its estimated requirement of Rs320 billion. Under the proposed agreement, the federal government would provide Rs250 billion to the region.
