Govt to hold crucial NFC meeting this month

November 04, 2025 (MLN): The government will convene an important National Finance Commission (NFC) meeting later this month to resolve key constitutional and fiscal matters, Finance Minister Muhammad Aurangzeb said Monday. 

Aurangzeb told reporters that the session will focus on constitutional issues tied to the NFC Award, population, and education, adding that the meeting had been postponed earlier due to September’s flooding but will now proceed.

Finance Secretary Imdad Ullah Bosal said the government plans to roll out a direct contribution pension scheme for armed forces personnel next year as part of broader pension reforms.

“The armed forces have a distinct service structure, so we are holding detailed discussions with them,” Bosal said, noting that Islamabad is taking a cautious approach after reviewing similar reforms in neighboring economies.

He added that 8,914 federal employees have already been hired under the new pension framework.

Aurangzeb, joined by Privatization Adviser Muhammad Ali, Power Minister Sardar Awais Leghari, and IT Minister Shiza Fatima, also briefed journalists on the government’s structural reform drive, saying Pakistan’s economic outlook is improving.

He cited upgrades from three international rating agencies and a recent staff-level agreement with the IMF as evidence of progress.

“Our direction is correct,” Aurangzeb said. “The focus is on sustainable economic stability rather than short-term spurts. Pakistan has seen boom-and-bust cycles before; the challenge now is to avoid them.”

The minister hinted at upcoming foreign investment announcements and highlighted a surge in tax receipts from the retail sector, which has doubled to Rs166 billion from Rs82 billion.

He credited Prime Minister Shehbaz Sharif for leading the reform process and acknowledged continued financial support from Saudi Arabia, China, and Gulf partners.

On privatization, Aurangzeb said several large business groups have shown interest in Pakistan International Airlines (PIA), underscoring the government’s push to attract strategic investors.

“If the IMF were not satisfied with our performance, the review would not have been completed,” he added.

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