Pakistan could save Rs. 4-5 trillion annually by abolishing loss-making/useless federal ministries through the 18th Amendment, the Senate Functional Committee on Devolution said on Friday.
The committee expressed concern over delays in shifting several ministries and departments to the provinces despite constitutional provisions introduced through the 18th Amendment.
During the meeting, lawmakers discussed restructuring the federal government and reducing the number of ministries that continue to handle subjects that fall under provincial jurisdiction. The committee said unnecessary federal ministries should be abolished, allowing provinces to manage devolved areas while reducing government expenditure.
Members also raised concerns over the lack of regular meetings of the Council of Common Interests (CCI), a key constitutional forum for resolving federal-provincial issues. The committee said the CCI and National Finance Commission (NFC) should be strengthened to improve coordination between Islamabad and provinces.
Senator Jan Muhammad Baloch said delays in holding CCI meetings were weakening constitutional mechanisms and stressed that significant cuts in government spending were needed to address Pakistan’s financial challenges.
The committee also discussed the distribution of revenues from natural resources, with Senator Zamir Hussain claiming that oil and gas-producing provinces had not received their due share for years.
He said Sindh produces oil worth around Rs3.7 billion daily, while Khyber Pakhtunkhwa contributes significantly to national oil production, yet provinces were not receiving adequate financial benefits.
The committee directed the federal government to present a detailed report on oil and gas production and revenue distribution in the next meeting.
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