QUETTA: Federal Government has deducted Rupees 2.8 billion from development funds of provincial government and the amount has been paid to clear circular debt.
Official sources told PPI here Monday that Balochistan Government, Sindh and Khyber Pashtoonkhwa provinces have strongly protested with federal government over this deduction which was made without consent of these provincial Governments. The deduction has been made from development funds and has been used for clearing circular debt. Balochistan Government came to know of this deduction after 20 days.
Balochistan Chief Secretary took up the matter at the sub Committee on energy at its meeting in Islamabad. Provincial Finance Department has written a letter to the federal government.
The said deduction is against the spirit of 18 th amendment and against the 7 th NFC award under which no deduction can be made without the consent of the provinces under any head.