Effective devolution key to Sindh's betterment

The Express Tribune reported that speakers at an IBA Centre for Excellence in Journalism session on Thursday said good governance and lasting growth depend on moving political, administrative and financial authority down to the most suitable tier of government. Panelists asked whether new provinces or stronger provincial and local bodies would better tackle Pakistan's governance problems.

Former federal finance minister Miftah Ismail argued that new provinces alone could not guarantee better governance, and he urged a stronger role for citizens and governments at the proper level. He stressed that no nation can prosper without raising living standards and education, and that reforms must translate into services for ordinary citizens. Ismail warned that devolving duties without financial powers would leave the process incomplete, and questioned National Finance Commission arrangements unless provinces created effective Provincial Finance Commissions to pass resources to local governments.

Former federal secretary M Younus Dagha said local bodies needed more authority, adding that revisions to how Octroi and Zila Tax (OZT) revenue is divided had cost Karachi substantial income. Economist Kaiser Bengali said decentralisation was held back by a fear factor affecting politicians and provincial governments. He noted that the 7th NFC Award lifted the provincial share of the shared tax pool from 47.5% to 57.5% starting 2011-12. Bengali added that the fiscal system should reward provinces for welfare, schooling and revenue collection rather than depend on population-linked transfers.