May 20, 2003	Tuesday	Rabi-ul-Awwal 17, 1424

PESHAWAR, May 19: NWFP received over Rs16 billion against its share under the Federal Divisible Pool (FDP) during the first 10 months of the current financial year, recording an improvement by over Rs3.5 billion in comparison with the last financial year, according to official sources.

The direct federal transfers to the province in July-April 2002-03 appears to be 21 per cent over and above the Rs13.5 billion disbursements to the province in the corresponding period of 2001-02.

Improvement in transfers from the FDP has been attributed to the revenue growth recorded by the Central Board of Revenue which is likely to meet Rs460 million annual target for the financial year 2002-03.

In accordance with the 1998 census, NWFP’s share under the FDP releases rose from 13.54 per cent to 13.82 per cent, raising the province’s share by over Rs1.5 billion in terms of revenue.

The federal government released over Rs1.8 billion in April this year. The monthly share from the FDP also included Rs530 million book adjustment on account of debt repayment against the NWFP’s multi-billion rupees cash development loan.

Though the FDP releases to NWFP recorded a marked improvement, the provincial government was still trailing far behind the amount it should have received on proportionate basis in the July-April period of 2002-03, the sources said.

The federal government had projected NWFP’s share for the financial year 2002-03 at Rs21.5 billion, of which the province was eying to get Rs17.9 billion on proportionate basis.

However, actual releases from the FDP stood at Rs16.8 billion, leaving the provincial government to record revenue shortfall of Rs1 billion under this head during the first 10 months of the financial year 2002-03.