ISLAMABAD - The federal government yesterday reconstituted 9th National Finance Commission after the President approved appointment of Naveed Ahsan as non-statutory member of the NFC.

The NFC had been incomplete since Punjab’s previous member, Dr Aysha Ghaus Pasha was appointed as the provincial finance minister several months back.

Finance Minister Ishaq Dar is the chairman of the new NFC, which comprises four provincial finance ministers and four technical members. Naveed Ahsan will represent the Punjab in the NFC. Other non-statutory members are Saleem Mandviwala from Sindh, Muhammad Ibrahim Khan from Khyber Pakhunkhwa, and Kaiser Bengali (Balochistan).

“With the appointment of Naveed Ahsan, the 9th National Finance Commission is now complete,” said an official handout released by the Ministry of Finance.

The federal government had not called a single meeting of the National Finance Commission (NFC) in last 10 months to formulate new resource-sharing formula between the provinces and the federal government.

The PML-N government, which had already extended the previous resource-sharing formula for one year, held only one meeting of NFC in April last year. The previous NFC award expired on June 30, 2015. Finance Minister Ishaq Dar had hinted at extending the 7th National Finance Commission (NFC) award for another year as well.

The provincial governments get shares from the federal government under the 7th NFC award as per the following formula: Punjab 51.74 percent, Sindh 24.55 percent, Khyber Pakhtunkhwa 14.62 percent and Balochistan 9.09 percent.

The federal government would transfer Rs 894.7 billion to Punjab in the current financial year as compared to Rs 751.5 billion of the last fiscal year. Similarly, Sindh would get Rs 482.8 billion in the present fiscal year 2014-15 as against Rs 413.5 billion of the last year. Khyber Pakhtunkhwa would get Rs 300.452 billion in the ongoing fiscal year as compared to Rs 254.77 billion of the previous year. Khyber Pakhtunkhwa would get one percent additional under the NFC award due to the war on terror. Balochistan would get Rs 171.49 billion in the present financial year under the NFC award as against Rs 154.98 billion of fiscal year 2014-15.