OUT of all the provincial governments, it is perhaps KP that holds the most interest. This the testing ground of the PTI which bills itself as a party of change.

In KP’s budgets, the party’s commitment to its manifesto and its promises stand tested. There could scarcely be a more challenging testing ground.

The province is on the front line of the war on terror, and its geography puts it on the front line of climate change as well.

Given these challenges, the PTI has performed better than many expected in its core economic responsibilities. It has doubled provincial revenue collection during its term and invested in unusual, out-of-the-box revenue measures tapping its considerable forest resources and urban government land, which appears to have paid off even if the steps fell short of target.

It has made increasing forest cover an important priority, something the other provinces ought to emulate. It has moved further towards empowering local governments, although the politics of status quo has asserted itself here.

In its last full-year budget, the party appears to show some signs of fatigue. It brought about dramatic increases in the collection of agricultural income tax, tripling revenue from this head in three years, but that has now tapered off.

The story is the same with tax on immoveable property, where many rackets can be observed.

The party sought to double total provincial taxes this year, but in revised figures they have brought that target down by almost a third.

Next year’s target is around 30pc higher than this year, meaning the aggressive drive to transform the provincial revenue machinery has not petered out. Fatigue is also evident on the expenditure side.

Although most expenditure targets were met last year, education suffered a shortfall of almost 46pc, and next year’s education target, from current revenue expenditure, has been brought down by 31pc, probably to align it more with reality, making KP the only province thus far to actually reduce its education allocation (on the current revenue account) from last year.

Nevertheless, KP is one province where interesting things have happened in terms of economic management, where something vital is stirring. Whether or not the provincial leadership feels fatigued, they can at least claim they put up a spirited show during their term in office.

Published in Dawn, June 15th, 2016