PESHAWAR, Sept 25: As the under-preparation 6th National Finance Commission award envisages to distribute the Federal Divisible Pool (FDP) resources among the provinces on the basis of population, Sindh and NWFP are set to benefit from the arrangement after having registered marginal growth in their population as per the 1998 census, according to sources.

NWFP’s share under the total population of the country has risen to 13.82 per cent as per the 1998 census, registering a growth of 0.28 per cent in comparison with the 1981 census thereunder the Frontier province’s share had been 13.54 per cent.

Similarly, Sindh has also got marginal increase in its share under the total national population, rising to 23.71 per cent as per the 1998 census from 23.28 per cent under the 1981 census.

“Growth in population would translate into increase in NWFP’s share under the Federal Divisible Pool,” sources said.

According to sources, NWFP is likely to benefit by around Rs1.5 billion due to increase in its population.

The province has been projected to get over Rs21.97 billion from the FDP during the current financial year — on the basis of its 13.54 per cent share under the total population of the country.

“The Rs1.5 billion increase would be applied over and above the current level of FDP transfers to the province,” said sources.

The 6th NFC, to be effective from July 1, 2003, envisages to distribute resources among the federal government and provinces on the 60:40 basis, increasing the federating units’ share by 2.5 per cent in comparison with their existing share as per the current NFC.

Punjab and Balochistan are the two provinces which would get reduced FDP transfers (percentage wise) under the 6th NFC award.

Punjab would be getting 57.36 per cent of the total FDP releases to provinces under the 6th NFC award, getting decreased in its share under the FDP releases by 0.52 per cent as under the presently enforced NFC award Punjab is getting 57.88 per cent.

Similarly, Balochistan would get reduced share under the FDP by 0.19 per cent. Its share under the FDP would stand at 5.11 per cent as per the 1998 census against 5.3 per cent it used to get from the FDP under the 1981 census.

Though decrease in FDP share (due to negative growth in population) would add to the financial woes of the cash-starved Balochistan, Punjab would hardly be affected under the new NFC award.