Fiscal performance of Six Selected Taluka Municipal Administration in Sindh Fy 2001 to Fy 2005

Devolution of government financial authority has been an important component of the fiscal reforms implemented by the Musharraf government on the advice of the IMF, the World Bank and the Asian Development Bank since 2000. Devolution of fiscal authorityhas been integrated into the scheme for the establishment of local government in Sindh.The legal framework for this devolution of fiscal authority is provided by the Sindh Local Government Ordinance (SLGO) of 2001. The fiscal responsibility of Taluka and Town Municipal Authorities (TMAs) have been significantly enhanced by this legislative act.This paper prevents an analysis of the fiscal performance of six Sindh TMAs during Fy 2001 to Fy 2005. Section 1 describes the work done by successive Provincial Finance Commissions (PFC) established under SLGO 2001. Section II describes the fiscal responsibility of the TMAs and associated procedures for discharge of theseresponsibilities. Section III analysis the budgeting performance of six Sindh TMAs during Fy 2002 – Fy 2005 (Mithi, Badin, Naushahro Feroze, Dadu, Sanghar and Khairpur). Conclusion are presented in section IV.