Pakistan, July 6 -- The World Bank has urged Pakistan to reduce unnecessary federal spending and reform the distribution of financial resources between the federation and provinces. World Bank Country Director Bolormaa Amgaabazar said a new National Finance Commission (NFC) Award is essential to strengthen the country's fiscal framework. She stressed that fair resource allocation and stronger tax collection are critical to improving Pakistan's economic stability.

Amgaabazar said the reallocation of financial resources has remained pending for 15 years, delaying much-needed fiscal reforms. She called for consensus on a new NFC Award and urged authorities to empower local governments with greater financial resources and administrative auth...