Peshawar: Chief Minister Khyber Pakhtunkhwa Muhammad Sohail Khan Afridi has formally written to the Prime Minister of Pakistan, expressing serious concern over the non-release of constitutionally mandated federal funds, warning that continued delays are pushing the province into a severe financial crisis.

In his letter, the Chief Minister stated that persistent delays in federal transfers are adversely affecting provincial governance, budget implementation, and public service delivery. He emphasized that the provincial budget was framed strictly on the basis of constitutional financial entitlements, but actual releases from the federal divisible pool have fallen significantly short of projections.
The Chief Minister highlighted that Khyber Pakhtunkhwa remains the frontline province in the fight against terrorism and continues to bear heavy national expenditures. He noted that the province is unfairly shouldering costs related to counter-terrorism operations, flood rehabilitation, and the care of temporarily displaced persons.

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According to the letter, the federal government was expected to release Rs 658 billion from the federal divisible pool, but the province has so far received only Rs 604 billion, resulting in a shortfall of Rs 54 billion. This financial gap, the Chief Minister warned, has disrupted cash management, delayed budget execution, and negatively impacted essential public services.
The letter further pointed out that while Rs 292 billion was allocated for the merged districts, the federal government has released only Rs 56 billion to date. The Chief Minister warned that continued delays in funding for the merged districts are undermining the objectives of the merger process and weakening national cohesion.

Chief Minister Sohail Khan Afridi stressed that Net Hydel Profit, oil and gas royalties, NFC transfers, and funds for merged districts are constitutional obligations. He termed the suspension of regular monthly NFC transfers a violation of the Constitution and the principles of cooperative federalism.
Calling the situation critical, the Chief Minister demanded the immediate and unconditional release of all outstanding federal dues. He urged the Prime Minister to personally intervene in the matter, warning that further delays would intensify fiscal pressure and hamper governance in the province.
He also reiterated the demand for the immediate release of funds for the merged districts in accordance with constitutional requirements, emphasizing that timely financial support is essential for stability, development, and national unity.