Pakistan Peoples Party (PPP) Chairman Bilawal Bhutto-Zardari on Thursday claimed the center will not seek any further assistance from provinces during a three-year agreement to share the financial burden in the national interest.
“We have agreed with the government to contribute our share for the country’s defense,” he said during an address in the National Assembly’s ongoing budget session. He said the agreement had ensured the National Finance Commission (NFC) Award share remained protected as he lamented that provincial governments were repeatedly asked to sacrifice for the center.
Emphasizing that multiple issues had been resolved through constitutional means in coordination with the federal government, he cited Article 164 as allowing provinces and the center to provide grants to one another. He recalled that prior to the budget, there was much speculation the federal government might seek to curtail provincial financial rights, revisit the 18th Amendment, alter the NFC framework, or reduce funding for the Benazir Income Support Program (BISP).
Through negotiations, however, he said a “constitutional and democratic solution” had been achieved to meet national security requirements while safeguarding provincial interests. “We have agreed with the government that Sindh and the other provinces will make contributions for national defense,” he said, declaring it a “victory for Pakistani politics” showing democratic institutions and political parties could work together when national interests were at stake.
Rebutting the perception that provinces had ample fiscal space compared to the center, he asserted that provincial governments had rarely received their full entitlements under the 18th Amendment and the Seventh NFC Award. He claimed the PPP had introduced the petroleum levy as a temporary measure in the aftermath of the 2010 floods and this sum had never been shared with provinces. Similarly, he referred to budget surpluses required by the International Monetary Fund (IMF), declaring them another form of provincial contribution.
He noted that last year saw Punjab recording a surplus of approximately Rs. 700 billion, which was increased to Rs. 900 billion in this year’s budget. Sindh, he claimed, posted a surplus of around Rs. 300 billion and Rs. 400 billion, respectively. These resources, he said, could have been used for public services. He also lamented that development continued to lack in Khyber-Pakhtunkhwa and the erstwhile tribal areas.
Welcoming the participation of the PTI-led Khyber-Pakhtunkhwa government in the defense sharing arrangement, he credited it for putting aside political differences in the national interest.
He emphasized that national strength required public trust, political unity and social cohesion. “When national interests are involved, if we continue to work together in this way, there is no challenge Pakistan cannot confront,” he said.
During his address, Bhutto-Zardari also defended the Benazir Income Support Program, maintaining it had received global praise for helping vulnerable communities and should be expanded. This support, he stressed, benefited local economies. He said poverty alleviation was a central pillar of national security, linking extremism and insurgency to deprivation. “If you want to defeat extremism and terrorism, you have to win hearts and minds,” he said. “Any nation that wins the hearts of its people cannot be defeated,” he added.
“Pakistan’s economy cannot truly progress if the rich continue getting richer while the poor become poorer,” he said, urging agricultural growth that benefited ordinary farmers, industrial expansion that created opportunities for workers, and development policies that prioritized neglected regions. He claimed foreign envoys had told him that investing in less-developed areas of Khyber-Pakhtunkhwa and Balochistan could have generated broader economic benefits and reduced regional disparities.
“We take loans to pay back loans,” he noted, warning the country’s financial model remained heavily dependent on debt and lacked the foundations required for long-term economic stability.
Peace deal
On the memorandum of understanding signed between Iran and the United States, the PPP chairman congratulated President Asif Ali Zardari and Prime Minister Shehbaz Sharif on efforts aimed at promoting peace in the region. He also paid tribute to the contributions of Chief of Defense Forces (CDF) and Chief of Army Staff (COAS) Field Marshal Asim Munir.
He noted Pakistan had faced and resisted terrorism and knew first-hand the damage caused by conflict and instability. He hoped the agreement between Tehran and Washington would pave the way for lasting regional peace and stability in the region, stressing that nations progress during times of peace.
He alleged external forces were attempting to exploit Pakistan’s internal divisions. “There is an India-Israel nexus working against Pakistan,” he claimed, stressing on the need for national unity to tackle such challenges.
Referring to India’s ongoing violations of the Indus Waters Treaty, he warned that any attempt to block Pakistan’s waters would provoke a national response. “We are watching Modi’s conspiracies, but I want to tell him that all his conspiracies will be defeated, Inshallah,” he said, declaring the Indian prime minister’s criticism of the treaty as a “mistake.”
Maintaining Pakistan was prepared to defend its water rights, he said water security was a national priority and called for a coordinated strategy to strengthen Pakistan’s water management system. This, he said, required protecting the Treaty as well as investing in domestic water infrastructure, including through major dams and irrigation projects. “We must ensure that ongoing projects are completed, instead of waiting for years while projects remain incomplete and losses continue,” he said.
AJK protests
Discussing the ongoing unrest in Pakistan-administered Kashmir, the PPP chairman urged those protesting to recognize that “enough is enough now, and they should stand down.” He warned continued agitation in its current form would only further deepen instability, adding the government was open to dialogue but would not allow any further damage to the region.
Bhutto-Zardari called on the protesters to oust extremist elements from within their ranks, maintaining their actions were damaging both Pakistan’s international reputation and the broader Kashmir cause. He noted the government’s agreement with the Jammu Kashmir Joint Awami Action Committee (JAAC) was 80% complete, but admitted the demand for the abolition of 12 seats for refugees had become controversial. He said these seats could not be removed, nor could the issue be settled through threats or sit-ins, advising the protesters to return to negotiations.
He also referred to the PPP securing the highest number of seats in the Gilgit-Baltistan elections, saying this demonstrated continued support for the party in the region. He said it was time to grant GB representation in Parliament and credited PPP founder and his grandfather Zulfikar Ali Bhutto for introducing reforms that expanded the rights of residents.
He emphasized that constitutional questions, political disputes and national security challenges required dialogue, political consensus and democratic engagement rather than confrontation. “We must debate this in a normal manner. Solutions cannot be imposed by force,” he said, maintaining the PPP would continue to pursue reforms through democratic means.
“Pakistan stands at a crossroads. If we resolve these issues through consensus, then I believe victory will be Pakistan’s, and defeat will be for every opponent,” he said.