KARACHI, Oct 16: The city government has been facing difficulties in running the affairs of the metropolis and as well as in solving the citizens’ lingering problems owing to its meagre financial resources, the city Nazim, Naimatullah Khan, said here on Tuesday.

Admitting that the city government was facing a serious financial crunch owing to deduction in federal government’s matching grant, he said 90 per cent of the city government’s income is spent on salaries of its employees and it was not possible to help solve the problems of the city with just 10 per cent remaining amount.

The Nazim was speaking to a delegation of different union councils’ Nazims which called on him to apprise the problems of their respective union and town councils. The delegation was led by Saddar Town’s Nazim, Farooq Memon Faria.

Reiterating the city government demand of allowing it to collect sea dues from the Karachi Port, the nazim regretted that the performance of the city’s town and union councils was also being badly affected due to poor financial position of the city government.

Referring to the city government’s financial crunch, Naimatullah Khan, said although the federal government had committed to provide a matching grant to the local government institutions while abolishing octroi duty, a substantial amount was being deducted from the grant every now and then, making it difficult for the city government to undertake development works and in resolving the lingering issues.

Earlier, the Saddar Town’s nazim, Farooq Faria, drew the attention of the Nazim towards a number of issues relating to financial resources of the his town, street-lights and shifting of offices of goods transporters from Chand Bibi Road and Kharadar, etc.

About the Saddar Town Nazim’s demand of shifting the offices of goods transporters from Chand Bibi Road and Kharadar, Mr Khan assured him of his full cooperation.