Development Advocate Pakistan: Volume 2, Issue 2

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Development Advocate Pakistan: Volume 2, Issue 2

July 27, 2015

In 2015, the 7th National Finance Commission Award (NFCA) will conclude its ve year term. Deliberations on the 8th NFCA have already begun. As we transition to the new NFCA, it is important to take stock of the achievements and failures of the current award, and its impact on the future of development policy and Pakistan's efforts toachieve the SustainableDevelopmentGoals.

The 7th NFCA was unprecedented in the history of Pakistan. First, it generated an unparalleled political consensus on the NFC process. The political process which underpinned it was participatory and inclusive, with a broad buy-in characteristic of a truly democratic development process. Second, it introduced much needed structural changes to how funding was distributed between provinces. For the rst time, the criterion for distribution was not based on population alone but on multiple indicators including poverty.

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