KARACHI, Oct 26 The Sindh government claimed on Monday that it had achieved a breakthrough on the National Finance Commission award at the NFC meeting held in Quetta early this month.

Speaking at a press conference held at the Karachi Press Club, Senior Ministers Pir Mazhar-ul-Haq and Syed Sardar Ahmad said that it was the result of the coalition government's mutual consultations and joint efforts that the NFC members had reached a consensus that the general sales tax on services was a constitutional right of the provinces and that the distribution of resources would be based on multiple criteria, including population, poverty, revenue generation and backwardness.

They, however, deplored that some so-called nationalist parties, instead of appreciating the provincial government's success, were criticising it over the NFC award issue and trying to mislead the public.

They said the increased revenue which Sindh would get in the NFC award would be spent on accelerating the pace of development and the promotion of education, health and the basic infrastructure in the province.

Pir Mazhar said although only outlines were settled for the next award, the nationalists parties by holding press conferences off and on were accusing the government of compromising on its principles on the NFC award. He said besides achieving the recognition of its stand by all, the government was heading towards getting provincial autonomy.

Syed Sardar Ahmad, who has long been striving to get these principles recognised at NFC meetings, said that since 1990 it was for the first time that the government had got a breakthrough on the issue.

He said at present the provinces were getting 45 per cent from the divisible pool, but now the federal government had agreed to increase this share as demanded by the provinces.

He said according to the figures of the last two years, Rs60 billion was collected from the three services - telecommunications, electricity and gas - in which Sindh's contribution was 62 per cent and on the basis of these figures now Sindh would get from Rs36 billion to Rs40 billion.

In reply to a question, he said that the next meeting of the NFC was scheduled for Oct 29 in Peshawar, and the one after that would be held in Karachi before the finalisation of the award.

Answering another question, he said it would not be appropriate to disclose what would be Sindh's demand about the weightage percentage on the basis of population, poverty, backwardness and revenue generation from the divisible pool.

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