Civil society emphasises constitutional reforms

Islamabad:A study on local government budgetary allocations and expenditures in Pakistan highlighting critical constitutional, financial, and administrative gaps that hinder effective local governance, launched by AwazCDS-Pakistan in collaboration with UGOOD under its ongoing initiative ‘Strengthening Local Governments to Promote Democracy in Pakistan (SLGPD).’

The study findings reflect a stark reality: despite constitutional commitments under Article 140A, local governments remain financially disempowered, administratively constrained, and politically marginalised.

This initiative is aimed at supporting democratic governance in Pakistan by promoting greater financial and administrative transparency at the local level. The study launch event, held in collaboration with Pakistan Development Alliance, UGOOD and its member organizations brought together a diverse group of 25 stakeholders including members of Parliament, political parties, civil society organizations, local government representatives, media representatives, bar councils, Person with Disabilities, Youth, transgender and representative from Academia.

Zia Ur Rehman, Chief Executive of AwazCDS-Pakistan, formally presented the study findings and shared that the evidence clearly shows that without constitutional protection, fiscal decentralisation remains ad hoc and politically driven. This study calls for systemic reforms to ensure local governments are treated not as administrative outposts, but as the third tier of government.

The study found several major problems that are weakening local governments in Pakistan. Unlike the federal and provincial governments, local governments do not have clear protection in the Constitution, and there are no detailed rules about how their budgets should be handled. In provinces like Punjab and KP, only a few meetings of the Provincial Finance Commission (PFC) have taken place since 2008, while Sindh and Balochistan have had none at all. Because of this, funds given to local governments are often decided without any proper system or fairness. The study also shows that from 2023 to 2025, budget allocations to local governments have gone down, especially in Sindh and Balochistan. Lastly, most local governments are not allowed to raise their own funds because the power to collect taxes and fees is mostly with the provincial governments.

Speaking on behalf of UGOOD, Syed Ishtiaq Gilani, CEO of UGOOD, shared: “The findings of this study are not only timely—they are essential for reclaiming local democracy in Pakistan. Civil society, alongside political actors, must work together to ensure that local governments are empowered with resources and recognition. We believe in an inclusive governance model where all voices, including women, youth, and marginalized groups, shape local development agendas.”

Dr. Raheem Awan (president Law Wing PMLQ) emphasised the importance of institutionalising timely elections and functionality of local government systems, rather than fixating on nomenclature or administrative semantics. He noted that local government administrations have historically existed in Pakistan, but their effectiveness has largely depended on consistent electoral processes and administrative continuity. He proposed that the election process be completed within 90 days of term completion, as any delay undermines democratic continuity.

Zafar Ullah Khan, convener, parliamentary research group emphasised that while the Constitution of Pakistan mentions ‘local government’ under Article 140A, there remains a critical ambiguity in the practical implementation of the local governance framework—especially concerning Islamabad.