KP Govt Demands Rs100 Billion in Unpaid Dues from Federal Government
KP Accuses Federal Govt of Financial Discrimination

The provincial government of Khyber Pakhtunkhwa has launched a stern accusation against the federal government, alleging a deliberate and unfair withholding of its constitutional financial rights, which is severely crippling the province's economy and development.

Federal Government's "Discriminatory Attitude" Condemned

On Tuesday, Shafi Jan, the Special Assistant to the Chief Minister for Information and Public Relations, expressed profound concern over what he termed the federal government's "unfair and discriminatory attitude" towards Khyber Pakhtunkhwa. He strongly rejected the centre's "hostile approach," revealing that the province has been deprived of its legitimate financial dues for several consecutive months.

Billions in Unpaid Dues Halt Development

Jan highlighted a critical financial obligation under the 25th Constitutional Amendment, which mandates the federal government to provide Rs100 billion annually for the development of the merged districts. "Unfortunately, these funds have not been released till now," he stated, confirming that this non-payment has forced several development projects in the merged districts to a standstill.

He issued a grave warning that this delay is not just a financial issue but is also starting to have an adverse impact on the security situation in the region. Furthermore, he pointed out that despite Khyber Pakhtunkhwa being entitled to an additional one percent share in the NFC Award under the War on Terror, these funds, along with billions of rupees in net hydel profit arrears, remain unpaid by the federal government.

Constitutional Battle and Political Ultimatum

Emphasizing the legal standing of these claims, the SACM stated, "These payments are the constitutional and legal right of the province, and their timely release is essential for strengthening financial stability of the province." He also criticized the federal government for unannounced cuts and delayed release of the provincial tax share, which undermines KP's financial autonomy despite its strict fiscal discipline.

Jan demanded that the federal government immediately clear all outstanding dues. He concluded with a firm warning that if the centre fails to act, the provincial government is prepared to pursue all constitutional, legal, and political avenues, including taking the matter to Parliament and the courts, to secure the province's rightful share.