IDEAS home Printed from https://ideas.repec.org/a/bec/imsber/v9y2017i2p203-224.html
   My bibliography  Save this article

Discrepancies in Fiscal Architecture: Context and Causes of Devolution Reforms’ Outcomes in Khyber Pakhtunkhwa, Pakistan

Author

Listed:
  • Aamer Taj

    (Institute of Management Sciences, Peshawar)

  • Fahad Abdullah

    (Institute of Management Sciences, Peshawar)

Abstract

Based on qualitative empirical evidence from four diverse districts of Khyber Pakhtunkhwa province, this case study examines the limitations in fiscal policy of local governance reforms in Pakistan. Keeping in view the constrained redistributive system that is rooted in the governance setup at provincial and local level, fiscal architecture is analysed. The impact of abolishment of rural urban administrative divide on tax redistribution, complications in revenue generation, matters related with jurisdictional transgression in revenue collection and development expenditure, and inadequate amount of public funds for development are analysed as key factors that are presumably responsible for the defective fiscal management.

Suggested Citation

  • Aamer Taj & Fahad Abdullah, 2017. "Discrepancies in Fiscal Architecture: Context and Causes of Devolution Reforms’ Outcomes in Khyber Pakhtunkhwa, Pakistan," Business & Economic Review, Institute of Management Sciences, Peshawar, Pakistan, vol. 9(2), pages 203-224, June.
    • Handle: RePEc:bec:imsber:v:9:y:2017:i:2:p:203-224
    DOI: dx.doi.org/10.22547/BER/9.2.9
    as

    Download full text from publisher

    File URL: http://imsciences.edu.pk/files/journals/2017-vol-2/New%209.pdf
    Download Restriction: no
    File URL: https://libkey.io/dx.doi.org/10.22547/BER/9.2.9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Cheema, Ali & Khwaja, Asim Ijaz & Qadir, Adnan, 2005. "Decentralization in Pakistan: Context, Content and Causes," Working Paper Series rwp05-034, Harvard University, John F. Kennedy School of Government.
    2. Tahseen Ajaz & Eatzaz Ahmad, 2010. "The Effect of Corruption and Governance on Tax Revenues," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 49(4), pages 405-417.
    3. International Monetary Fund, 2001. "Fiscal Decentralization and Governance: A Cross-Country Analysis," IMF Working Papers 2001/071, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marius Constantin PROFIROIU & Septimiu Rares SZABO, 2016. "Outsourcing vs decentralisation: A comparative analysis in Central and Eastern Europe," Eco-Economics Review, Ecological University of Bucharest, Economics Faculty and Ecology and Environmental Protection Faculty, vol. 2(2), pages 3-26, December.
    2. Fernando Albornoz & Antonio Cabrales, 2010. "Fiscal Centralization and the Political Process," Working Papers 2010-02, FEDEA.
    3. Samir Ul-Hassan & Biswambhara Mishra, 2018. "Does an Economic and Political Affairs Matter in Determining the Tax Revenue of Jammu and Kashmir State (India): An Approach through VECM Model," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 22(2), pages 471-501, Spring.
    4. Emmanuel Ekow Asmah & Francis Kwaw Andoh & Edem Titriku, 2020. "Trade misinvoicing effects on tax revenue in sub‐Saharan Africa: The role of tax holidays and regulatory quality," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(4), pages 649-672, December.
    5. Umaima Arif & Eatzaz Ahmad, 2018. "A Framework For Analyzing The Impact Of Fiscal Decentralization On Macroeconomic Performance, Governance And Economic Growth," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 65(01), pages 3-39, May.
    6. Kis-Katos, Krisztina & Sjahrir, Bambang Suharnoko, 2017. "The impact of fiscal and political decentralization on local public investment in Indonesia," Journal of Comparative Economics, Elsevier, vol. 45(2), pages 344-365.
    7. Md. Harun Ur Rashid & Noman Uddin & Md. Shariful Haque & Syed Zabid Hossain, 2022. "Good governance and tax evasion: mediating effect of socioeconomic conditions," Asia-Pacific Journal of Regional Science, Springer, vol. 6(2), pages 759-776, June.
    8. Aijaz Ali & Farhad Analoui, 2023. "Decentralisation by military regimes and challenges to citizen participation: an empirical reflection from Pakistan," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-10, December.
    9. Pal, Sarmistha & Wahhaj, Zaki, 2017. "Fiscal decentralisation, local institutions and public good provision: evidence from Indonesia," Journal of Comparative Economics, Elsevier, vol. 45(2), pages 383-409.
    10. Muhammad Syauqi Qur’ani Putra Ariva & Ermawati, 2020. "Determinants Influencing the Level of Corruption in Indonesia Local Governments," Journal of Economics and Behavioral Studies, AMH International, vol. 12(4), pages 34-42.
    11. Enikolopov, Ruben & Zhuravskaya, Ekaterina, 2007. "Decentralization and political institutions," Journal of Public Economics, Elsevier, vol. 91(11-12), pages 2261-2290, December.
    12. Aslim, Erkmen Giray & Neyapti, Bilin, 2017. "Optimal fiscal decentralization: Redistribution and welfare implications," Economic Modelling, Elsevier, vol. 61(C), pages 224-234.
    13. Anwar Shah, 2014. "Decentralized Provision of Public Infrastructure and Corruption," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper1418, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    14. Fortuna Casoria & Marianna Marino & Pierpaolo Parrotta & Davide Sala, 2019. "Local Government and Innovation: the case of Italian provinces," Working Papers halshs-02278092, HAL.
    15. Ishrat Husain, 2012. "Adapting Public Sector Services to Local Delivery," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 17(Special E), pages 359-385, September.
    16. Grégoire ROTA-GRAZIOSI & Emilie CALDEIRA, 2014. "La décentralisation dans les pays en développement : une revue de la littérature - Decentralization in developing countries: A literature review," Working Papers 201411, CERDI.
    17. Alexander Stoecker, 2021. "Partisan Alignment and Political Corruption: Evidence from a New Democracy," Volkswirtschaftliche Diskussionsbeiträge 192-21, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
    18. Azra Khan & Sadia Safdar & Nazima Elahi, 2021. "An Evaluation Of The Impact Of Corruption On Tax Morale And Taxation In Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(3), pages 259-272.
    19. Mamadou Bah, 2024. "Tax revenue mobilization and institutional quality in sub‐Saharan Africa: An empirical investigation," African Development Review, African Development Bank, vol. 36(2), pages 201-221, June.
    20. Mohammed Aminu Yaru, 2022. "Budget transparency and internal revenue mobilisation at sub-national government level: evidence from Nigeria," Public Sector Economics, Institute of Public Finance, vol. 46(4), pages 505-531.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bec:imsber:v:9:y:2017:i:2:p:203-224. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Attaullah Shah (email available below). General contact details of provider: https://edirc.repec.org/data/imspepk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.