Federal govt paid Rs 8,404 billion to KP in 15 years

ISLAMABAD: The Khyber Pakhtunkhwa government has received Rs 8,404 billion (Rs 8.4 trillion) from the Federation, according to the Ministry of Finance.

According to financial documents, the data is from 2010 to November 2025.

Since 2010, the Khyber Pakhtunkhwa government has been paid a hundred percent share of Rs 5,867 billion under NFC.

Remember that under NFC, the provinces receive funds regularly every 15 days, and there are no arrears.

The Federation has released Rs 46.44 billion to the Khyber Pakhtunkhwa government under NFC on December 17, 2025, as per the Ministry of Finance.

Since 2010, the Khyber Pakhtunkhwa government has received an additional 1% on the additional burden of terrorism, and Rs 705 billion has been provided so far.

“Since 2010, Rs 482.78 billion has been given to the Khyber Pakhtunkhwa government in straight transfers like royalty, GDS, excise etc.

For the newly merged districts, the federation has transferred Rs 704 billion from its share since 2019.

In the past few years, the federation has also provided an additional Rs 117.166 billion to the Khyber Pakhtunkhwa government for IDPs,” according to the Ministry of Finance.

Moreover, Rs 115 billion has been released for KP projects in the Federal Development Program.

Under BISP, Rs 481.433 billion has reached by the people in the Khyber Pakhtunkhwa government from 2016 to 2025.

There is no progress in the projects; funds are not released automatically there. Experts have clarified that presenting the non-implementation of PSDP funds as NFC arrears or federal liabilities is a blatant misinterpretation of financial discipline and budget laws.

After these figures, the position that the federation has withheld the financial rights of Khyber Pakhtunkhwa or that the province owes any large amount is also rejected.

According to the Ministry of Finance, the federal government is taking practical steps to further strengthen the NFC system, including the establishment of the 11th NFC Award, the formation of sub-groups and provincial consultations.

The Ministry of Finance says that the priority of the federal government is clear: Khyber Pakhtunkhwa continues to be provided with transparent, fair, and performance-based financial assistance in all the challenges of security, rehabilitation, integration, and development.