The provincial finance minister Taimur Jhagra's letter has received backing from the Khyber Pakhtunkhwa government after the Federal Finance Minister subjected him to criticism.
Kamran Bangash, the provincial minister for higher education, claimed that Jhagra's letter was entirely consistent with the Constitution. According to the Constitution, the federal government cannot compel a province to provide a surplus budget, he added.
According to Bangash, KP's provincial government notified the federal government of its requirements prior to and following the MoU. He said that after being unlawfully taped, Jhagra's telephonic conversation was presented out of context.
Moreover, the KP minister requested the Center to pay the KP its fair portion of the funds provided by the International Monetary Fund (IMF). After obtaining the IMF money, the federal government should abandon its bias toward the KP.
Earlier on August 27, PTI Secretary General Asad Umar defended Taimur Jhagra, who is under fire for backing out of a key International Monetary Fund (IMF) requirement. Asad Umar said the minister "asked for KP's right" and no one should "suppress his voice".
"Taimur Jhagra is demanding the right of the province, don't you dare try to suppress his voice," Umar said.
He claimed that the government is "attempting to pin the blame for its own failures" on Jhagra.
The PTI leader said that the federal government is "incompetent" because "no agreement with the IMF has been reached in four and a half months".
Umar said that Miftah Ismail blames PTI for being unable to reach an IMF deal, while Nawaz Sharif has "testified to his incompetence".
Jhagra wrote to Federal Minister for Finance Miftah Ismail saying it will be "next to impossible" for the province to run a surplus this fiscal year. He asked for the government to resolve outstanding issues such as budget allocations for the former federally administered tribal area (FATA), monthly transfers of net hydel profits in accordance with agreed terms, and revival of the National Finance Commission award, among others.
Jhagra stated in his letter that KP expressed its support within 24 hours and that the provincial government is ready to assist the federal government, but the federal government has not met with the provincial government in two months.