Addressing the 43rd meeting of Khyber Pakhtunkhwa cabinet here on Friday, the Chief Minister Muhammad Sohail Afridi urged the federal government to release the promised funds under the National Finance Commission (NFC).
He said the funds were supposed to be released released on a quarterly basis, but have not yet been transferred by the federal government for the financial year 2025-26.
He said that due to the non-release of these funds, development projects in the merged districts are being adversely affected.
Despite these financial constraints, the Chief Minister emphasized that the provincial government is making all possible efforts to ensure that the people of the merged districts do not face hardships and that development and welfare initiatives continue within available resources.
On governance, the Chief Minister informed the cabinet that he has personally initiated field visits and has directed all provincial ministers and their secretaries conduct field visits to their respective districts and departments every fifteen days.
He said such visits help restore public trust and ensure effective checks and balances. He also announced that a detailed briefing on the Good Governance Roadmap prepared by the provincial government will be presented by the Chief Secretary in the upcoming cabinet meeting.
Briefing the media on cabinet decisions, Special Assistant to the Chief Minister for Information and Public Relations, Shafi Jan, stated that several important decisions related to socio-economic development, law and order, and governance were taken during the meeting.
He announced that the cabinet approved the Ehsaas Rehribaan (Street Vendors) Livelihood Protection Act, 2025, which will soon be presented in the Provincial Assembly.
The law aims to protect the rights of street vendors by allocating designated spaces in every city where they can conduct their business in an improved and organized environment.
He said that more than 140,000 individuals in the province are associated with street vending, and legal protection will help formalize this activity, creating sustainable livelihood opportunities.
Under the new law, street vendors will also be able to benefit from various government loan schemes for their businesses.
The Special Assistant further informed that the cabinet approved the establishment of a new district named “Ber Swat,” with its headquarters at Matta.
He added that a committee has been constituted to address smog in Peshawar, which will review the situation and present recommendations for long-term solutions. Proposed measures include the introduction of electric rickshaws, plantation drives, and other administrative interventions.
Regarding security, Shafi Jan stated that the cabinet approved measures to enhance the capacity of the Counter Terrorism Department (CTD) and the Special Branch to effectively counter terrorism.
A package of Rs. 17 billion was approved for the CTD, out of which Rs. 7 billion will be released immediately, while Rs. 14 billion were approved for the Special Branch.
These funds will be utilized for the procurement of weapons, armoured vehicles, new recruitments, and the establishment of formations in districts and headquarters office at Peshawar.
He further said that the cabinet approved the Khyber Pakhtunkhwa Promotion of Digital Payments Bill, 2025, under which 170 government services will be shifted to digital payment systems over the next two years.
In the first phase, 21 services will be brought under the digital payment framework.
The cabinet also approved the transfer of land to the Labour Department for the establishment of a 20-bed polyclinic hospital for employees of the Social Security Institute in Dera Ismail Khan.
Additionally, a non-ADP scheme was approved for cemetery land in Mansehra.
Other approvals included the establishment of the Chief Secretary’s Service Delivery Unit, additional cost for the upgradation and construction of the Women and Children Hospital in Haripur, and the appointment of the Chief Executive Officer of the Pakhtunkhwa Energy Development Organisation.
The meeting was attended by members of the provincial cabinet, the Chief Secretary Khyber Pakhtunkhwa, Additional Chief Secretary Home, Senior Member Board of Revenue, administrative secretaries, and the Advocate General Khyber Pakhtunkhwa.