Friday, May 27, 2011

Local /district level planning:


The update on ESR Action Plan 2001/2-2005/6 reveals that education remains a
central and sobering challenge for Pakistan on account of short falls in access, quality and
transition. It is heartening to see that the provinces have recognized the merit of sector wide approach and are developing sector strategies strongly along those lines. This is reflected in provincial PRSPs, which will support the national PRSP targets.
We are constrained with regards to resources in spite of overall increase in allocations. The demand for quality education continues to outpace supply not just at the primary level but also at the middle, secondary and higher secondary level. For every 10 primary schools there is only 1 middle, and schools in the public sector. These gaps lead to low possibilities for completion and transition. However, there are several historical anomalies, which need to be corrected. There is not sufficient cushion in the non-salary component of the recurrent budget, repairs and maintenance, facility up-gradation remains  unattended. These problems compel us to revisit how we undertake allocations, develop norms for not just establishment of schools but also norms for school based maintenance, facility improvements, utilities and quality inputs at primary, middle and secondary levels.
The space provided under devolution for community participation is yet to be fully
explored. Sindh is providing legal cover to SMCs, whilst Punjab has restructured the School Councils to give them enhanced authority for effective and responsible local governance.
These are promising trends in devolution of authority and trust.
Local level education planning is gaining momentum in Pakistan with inclusion of
CSOs in the preparation of District EFA Plans 2015 and the medium term District Education Plans. This marks the beginning of evidence based planning processes. Such initiatives are part of the capacity building processes, which are urgently required at the district level recognizing that devolution has varying interpretation patterns from province to province.
An enabling environment for private sector and public private partnerships is in place
including a robust incentive package. We seek to make the incentive regime more targeted for private sector complementarily in bridging access gaps at middle and secondary levels as a part of coherent public policy.
We stand committed to quality improvement in public sector service delivery at all
levels in which civil society and private sector are our valuable partners so that we can move towards becoming a knowledge-based society spurring human development and economic
National Plan of Action on Education for All Goals.
National Plan of Action on Education for All (2001-15) sets the following targets for Primary Education
Education for All (EFA) Plans, Progress and Prospects
 Background / Introduction:
EFA National Plan of Action (NPA) has been developed through broad-based
consultations with principal actors of EFA and all stakeholders. Education Sector Reforms
(2001-02 - 2005-06) aimed at the development of education sector as a whole with a special focus on EFA goals, served as foundation of the NPA. Allocations of Rs.1.574 Billion with additional Rs. 2.00 Billion in the current financial year for ESR implementation over and above the regular budget, despite economic difficulties, is a clear expression of political will and government commitment to Education For All.
The planning framework of National Plan of Action (NPA) are the six EFA goals as
stated in the Dakar Framework For Action. The main objectives of NPA interalia are (I) to reach the disadvantaged population groups in rural and urban areas with emphasis on girls and women, (II) to promote community participation and ownership of basic education programs at the grassroots, and (III) to improve relevance and quality of basic education through enhancing learning achievements of the children, youth and adults. The sector-wide order of priorities of the plan are Primary Education, Adult Literacy and Early ChildhoodEducation.
Separate plan for each EFA sector/area is developed and integrated into a
consolidated plan. Each plan covers three main aspects/components of project cycle i.e.
planning, implementation and monitoring/ evaluation. The NPA has been developed within a sustainable and well-integrated sector framework clearly linked to poverty alleviation and development strategies. It aims at forging a link between basic education and skills development.
 National EFA Plan Goals and Targets
Population projections of the National Institute of Population Studies quote the
population of primary age group (5-9) to be 17.9 million. This number may rise to 19.6
million in 2005 and remaining almost constant for few years, will decline to 17.5 million in the last year of the plan. Net participation rate will increase from the existing 66 % to 100 % by the last year of the plan. UPE target for males would be achieved by the year 2010 and in case of females by 2015. Additional year-wise enrolment target of 0.4; 0.7; 0.9; 0.9 and 0.7 million for the first 5 years of the plan have been fixed. 8250 new primary schools will be constructed to accommodate the above additional enrolment. Physical facilities of 100,000 primary schools will be upgraded along with introduction of double shifts (2006-2010) and (2011-2015) in existing primary schools and opening of new primary schools in private sector. During the 2nd and 3rd phase of the plan more schools in public sector may not be needed. However up-gradation of primary schools to middle level would be regular feature of the plan.
Population of 10 + age group is likely to increase from the existing 101 million to 146
million by the end of the plan (2015). Literacy rate is planned to increase from existing 49% to 86% in next 15 years. Around 81 million population of 10+ age group will become literate during the plan period (2000-15). The innovative approaches and programs should be initiated to meet the targets.
Early Childhood Education is the third priority of NPA. The benchmark population of
3-5 year age group is 8.1 million. It may continuously decline due to reduced population
growth rate. By the end of the Plan (2015), it may drop to 7.2 million. The plan has to
provide ECE to at least half of the said age group population raising the net participation rate
from existing 25 % to 50 % by 2015. To accommodate these children, around 2500 ECE
centers/classes in the selected primary schools in public sector and 1500 centers in private
sector will be opened during each year of the Plan (kindly reword this statement as there is no
evidence on this in the public sector and anecdotal estimates only in private sector).
Quality improvement and school effectiveness are the key elements of the Plan. The
main quality inputs interalia, include reforms in curricula (focusing on basic learning needs of child, youth, adolescent and adult) textbook development and teachers training literacy
curriculum. An improved system of examination/assessment i.e. National Education
Assessment System (NEAS) will be introduced. Besides, pre-primary education (ECE),
programs will be initiated as part of efforts to improve achievement of pupils at primary
education level. Sector-wide estimated cost will be Rs. 202 Billion for Primary Education, Rs. 180 Billion for Adult Literacy and Rs. 48 Billion for ECE. The total cost worked out to be Rs.430 Billion. Out of it Rs. 178 Billion is estimated to be provided through the country’s
own resources and the gap of Rs. 252 Billion may be provided by international development
partners, bilateral and multilateral agencies as per Dakar commitment.
4.3 EFA Planning and Capacity Building:
It was strongly felt that capacity building of provinces and districts is one of the
urgent needs for EFA planning, implementation and monitoring/evaluation particularly for
district base planning and management under the new system and structure. In order to fulfill
this need following measures have been undertaken:
 EFA Planning and Capacity Building at Provincial Level:
In order build the capacity of provinces and prepare provincial EFA plans of action
following actions have been completed.
_ Orientation/awareness workshops/meetings were held in all the four provinces and
federating units in the first instance.
_ EFA communication and media campaign launched for awareness creation and
mobilization of resources.
_ A national training/capacity building workshop on Education for All was held in
Islamabad with an objective to train master trainers for training of EDO Education,
EDO Literacy, Nazims and other concerned. The said workshop was held in
Islamabad on July 2003. The participants of the workshop were drawn from the
provinces and federating units. Group of master trainers from the respective province
workshop prepared draft plan in all the three areas of EFA i.e. Primary Education,
Adult Literacy and Early Childhood Education for respective province / area. Finally
the participants were given training to write/describe the plan. Through this training
the master trainers not only learned theoretical concepts and fundamentals of planning
but also prepared draft plans and described / wrote the plans. It was termed as one of
the most successful and effective workshop on EFA Planning.
 Master trainers trained in National Capacity Building Workshop were assigned the
task of training/capacity building of provincial and district planners, managers and
other concerned. Furthermore, to improve the provincial/federating unit draft plans
prepared in National Workshop in consultation with Province and districts, a series of
training workshops were held at provincial headquarters.
 All the four provinces i.e. Punjab, Sindh, NWFP and Balochistan have prepared
the EFA plans in consultation with provincial EFA forums, Provincial Education
Department and other concerned.
 As a next step these plans will be discussed in the respective provincial assemblies,
finalized and launched.
District EFA Plans:
Subsequently training workshops for preparation of district EFA plans were held in
the provinces to train the district officials and other concerned in EFA planning, monitoring
and evaluation. This programme was started in August 2003 and completed in October 2003.
In N.W.F.P province, two such workshops were conducted at Peshawar covering 12 districts
in first workshop and remaining 12 districts in the second workshop. In Punjab province,
three different workshops were conducted at Lahore, Rawalpindi/Islamabad and Multan
covering all the 34 districts. For Sindh province also three workshops were conducted at
Hyderabad, Karachi and Sukkur, whereas for Balochistan province only one workshop was
conducted at Quetta. The participants/trainees of these workshops were Executive District
Officers Education and Executive District Officers Literacy, nazims, NGOs representatives
and other concerned. Draft district EFA plans were prepared by the participants of the
respective districts under the guidance of training team. The participants were given the
task to finalize the plan in consultation with district EFA forums and other concerned.
At present, 20 districts of Punjab, all the 16 districts of Sindh, all the 24 districts of
NWFP, all the 5 districts of FANA, all the 7 districts of AJK and 4 districts of                  
Balochistan have prepared the draft EFA plans. These plans may be discussed and
approved by the district assembly and district nazim, for full-scale implementation.

 Sub-district / Tehsil Level EFA Planning:
Ministry of Education adopted a different approach i.e. “bottom up EFA planning
approach” in district Chakwal (Model District). In the said district after giving orientation
and training, data/statistics and other related information on EFA were collected from the
households, educational institutions, NGOs and private sector. These statistics pertain to the
core indicators of primary education; adult literacy and early childhood education in terms of
population, enrolment, out of school children, illiterates, causes and factors of low
participation rate and dropout etc. etc. Based on the data/statistics so collected sub-district /
tehsil EFA plans of all the three tehsils of district Chakwal i.e. tehsil Chakwal, tehsil
Choasaiden Shah and Talagang have been prepared in consultation with tehsil EFA
forum, councilors, nazims and other concerned. These plans will be discussed and
approved by respective tehsil assembly before the same are launched for implementation.

4.3.4 Union Council Level EFA Planning:
As mentioned above we have successfully completed union council EFA planning
exercise, through the bottom up approach. Union council EFA Plans of all the sixty-eight
union councils of district Chakwal have been prepared in consultation with union
councilors and union nazims. These plans are based on the actual data/facts and figures
collected from the households and institutions.
These union council, tehsil and district Chakwal Model Plans will be shared with
other districts of the county to be adopted as model district planning approach

 EFA Forums and EFA Units Established:
Effective Coordination in EFA planning, implementation and monitoring/evaluation
has been given vital importance almost at all levels. It emerged from the strong realization
that unless and until all principal EFA actors and stakeholders are effectively involved at each stage the achievement of EFA goals and targets may not be possible.
To achieve EFA goals and targets, EFA Forums at national, provincial, district and
local levels have been established. The EFA Forum is a representative body of the
Government, Civil Society, Private Schools, Deeni Madaris, Media, Support Organizations
and Communities. The functions of EFA Forum interalia include: Coordination, Awareness
Raising, Planning, Collection and Dissemination of Information, Monitoring, Resource
Mobilization, Political Support, Capacity Building etc.
  International Development Partners EFA Forum:
EFA Partners (UNESCO, UNICEF, UNFPA, UNDP and World Bank) in Pakistan has
set up EFA International Development Partners Forum (INDPF) comprising all the
development partners including bi-lateral and multilateral agencies and international NGOs
and INGOs. Coordination and Resource Mobilization for EFA would be the main function of
INDPF.
EFA units at national, provincial and district levels will provide a platform to the
respective forum for effective coordination and monitoring/evaluation of EFA activities and
programmes at respective level.
4.4. Implementation Status:
Primary Education
In EFA Primary Education has been assigned top priority. Universalization of Primary
Education (UPE) in terms of universal enrolment/access; universal retention/completion and
universal achievement latest by 2010 in case of boys and 2015 in case of girls is the avowed goal and target of national, provincial and district EFA plans.
The target of 73% net participation rate under ESR/EFA plan of action for primary
education was set. Achievement in terms of net participation rate could not be assessed due to
non-availability of data/statistics. However, gross enrolment at primary level (I-V) is
estimated to be 83%.
Declining population growth rate; high intake rate in grade I; increased enrolment in
primary classes (I-V); reduced dropout rate (from 50% to 35%); increased allocations for
primary education (more than 50% budget of education sector is allocated for primary
education); and adequate infrastructure (around 200,000 institutions including Formal
Primary Schools, Masjid Maktab Schools, Primary Sections of Middle and Secondary
Schools. Deeni Madaris, Private Sector Schools and Non-formal Basic Education Schools
cater to the needs of primary age group children) are the achievements and strengths of
Primary Education in Pakistan. Whereas, a large number of out of school (more than 6
million) children; gender and area disparities; lack of effective community participation;
deteriorating quality of education and shortage of required funds are some of the lackings and
weaknesses of the system which need to be addressed on priority basis.
 Adult Literacy:
In literacy 10,000 Adult Literacy Centers in public sector and more than  2000 in
private sector against the target of 270,000 during the period 2001-3 could be opened.
Literacy rate could be enhanced to 51.6% against the target of 56% during this period.
The shortfall was mainly due to non-availability of the required resources by the
international Development Partners, Federal, Provincial and District Governments. Secondly,
implementation of ESR was delayed for one year and started in the year 2002 instead of  The above mentioned initiatives in literacy; plus declining population growth rate
(reduced from 3% in 1991 to 2.1% in 2003); and increasing participation rate at primary level
has resulted in considerable increase (2.2% against 1.1% per year average increase from 1981
– 1998) in literacy. At present (2003-4) the adult literacy rate is estimated to be 54% (male
66%: female 42%)
Consequent upon that the targets of adult literacy rate for ESR first phase (upto 2005-
06) are revised to 58% (male 69%: female 47%) against 60% previously targeted. The current projection is based on actual evidence at present and may be revised upwards if
implementation in 2004-2005 is seen to be more robust on account of government, NCHD,
US AID, and JICA funded initiatives in literacy. The backlog of 264,000 literacy centers will
be adjusted accordingly during the remaining periof of 1st, 2nd and 3rd phases of EFA Plan of
Action spread evenly across the period 2004/5 to 2014.
Early Childhood Education (ECE):
Early Childhood Education is one of the priority areas of education for all. Some of
the major Programmes on ECE launched in Pakistan are as follows:

 In the public sector primary schools, especially in rural areas, children below 5 years
of age do attend the schools informally, and learn basic concepts of literacy and numeracy.
_ In private sector schools, especially schools run on commercial basis, pre-primary
education is well organized, being an essential part of primary education. Almost all
such schools arrange pre-primary education in the form of Nursery, Pre-nursery or
Kindergarten KG-I, KG-II classes.
_ Day Care Centers and Nurseries have also been opened by the Social Welfare
Department, for children of working mothers.
_ The Ministry of Education under ESR has promoted ECE as an innovative program in
the provinces. Under this initiative 450 ECE classes were set up with a view that these
may be mainstreamed by the respective provinces once their efficacy was
established. Support for ECE has been mobilized from donors such as US AID, UNICEF, and the Asian Development Bank (ADB).
                 Child friendly School Project has been launched by Federal Directorate of Education
in Islamabad, Chakwal and six other districts in Punjab covering 200 schools in
collaboration with UNICEF.
             The Aga Khan Foundation Pakistan with the support from US-AID has initiated a
pilot programme of early childhood education (ECE) in the province of Sindh and
Balochistan. ECE programme entitled “Releasing Confidence and Creativity:
Building Sound Foundations for Early Learning in Pakistan” is being implemented in
100 government schools in Sindh and Balochistan. The Sindh Education Foundation
(SEF) has been given the role of documentation and research of the program to
capture the impact on early years on learning, parental and teachers engagement.

 Children Resource International (CRI) is also implementing ECE in another 100
schools across public sector and non-elite private sector.

 The Teachers Resource Center (TRC) which has developed the national ECE
curriculum has been engaged to provide support to all partners in various areas
especially in teachers’ training and classroom material development and
dissemination of ‘taleemi bastas’ of learning kits for ECE and early primary years.
EMIS data indicates that Pre-primary age group gross enrolment in public sector was
2.97 (male 1.67: female 1.30) million in 2001-02. Since, private sector ECE data is not
available therefore adding to it 50% of private sector enrolment (as is the present ratio
between public and private sector in Primary education I-V) the gross enrolment comes out to
be 4.5 million which is 57% of the ECE age group population of 7.9 million in 2002. It shows that we have achieved the NPA target of 27.5% net participation rate of ECE in 2002.
  
National Education Policy 1998-2010

 Salient Features of National Education Policy 1998-2010

Aims and objectives of Education and Islamic Education
Education and training should enable the citizens of Pakistan to lead their lives according to the teachings of Islam as laid down in the Qur'an and Sunnah and to educate and train them as a true practicing Muslim. To evolve an integrated system of national education by bringing Deeni Madaris and modern schools closer to each stream in curriculum and the contents of education. Nazira Qur'an will be introduced as a compulsory component from grade I-VIII while at secondary level translation of the selected verses from the Holy Qur'an will be offered.

Literacy and Non-Formal Education
Eradication of illiteracy through formal and informal means for expansion of basic education through involvement of community. The current literacy rate of about 39% will be raised to 55% during the first five years of the policy and 70% by the year 2010 Functional literacy and income generation skills will be provided to rural women of 15 to 25 age group and basic educational facilities will be provided to working children. Functional literacy will be imparted to adolescents (10-14) who missed out the chance of primary education. The existing disparities in basic education will be reduced to half by year 2010.

Elementary Education
About 90% of the children in the age group (5-9) will be enrolled in schools by year 2002-03. Gross enrolment ratio at primary level will be increased to 105% by year 2010 and Compulsory Primary Education Act will be promulgated and enforced in a phased manner. Full utilization of existing capacity at the basic level has been ensured by providing for introduction of double shift in existing school of basics education. Quality of primary education will be improved through revising curricula, imparting in-service training to the teachers, raising entry qualifications for teachers from matriculation to intermediate, revising teacher training curricula, improving management and supervision system and reforming the existing examination and assessment system.

Integration of primary and middle level education in to elementary education (I-VIII). Increasing participation rate from 46% to 65% by 2002-3 and 85% 2010 at middle level. At the elementary level, a system of continuous evaluation will be adopted to ensure attainment of minimum learning competencies for improving quality of education.
Secondary Education
One model secondary school will be set up at each district level. A definite vocation or a career will be introduced at secondary level. It would be ensured that all the boys and girls, desirous of entering secondary education, become enrolled in secondary schools. Curriculum for secondary and higher secondary will be revised and multiple textbooks will be introduced. The participation rate will be increased from 31% to 48% by 2002-03. The base for technical and vocational education shall be broadened through introduction of a stream of matriculation (Technical) on pilot basis and establishment of vocational high schools. Multiple textbooks shall be introduced at secondary school level.

Teacher Education

To increase the effectiveness of the system by institutionalizing in-service training of teachers, teacher trainers and educational administrators through school clustering and other techniques. To upgrade the quality of pre-service teacher training programmes by introducing parallel programmes of longer duration at post-secondary and post-degree levels i.e. introduction of programs of FA/FSc education and BA/BSc education . The contents and methodology parts of teacher education curricula will be revised. Both formal and non-formal means shall be used to provide increased opportunities of in-service training to the working teachers, preferably at least once in five years. A special package of incentives package shall be provided to rural females to join the teaching profession. A new cadre of teacher educators shall be created.

Technical and Vocational Education
To develop opportunities for technical and vocational education in the country for producing trained manpower, commensurate with the needs of industry and economic development goals. To improve the quality of technical education so as to enhance the chances of employment of Technical and vocational Education (TVE) graduates by moving from a static, supply-based system to a demand-driven system. Revision and updating of curricula shall be made a continuing activity to keep pace with changing needs of the job market and for accommodating the new developments. Development of technical competence, communication skills, safety and health measures and entrepreneurial skills etc. shall be reflected in the curricula. Institution-industry linkages shall be strengthened to enhance the relevance of training to the requirements of the job market. Emerging technologies e.g. telecommunication, computer, electronics, automation, petroleum, garments, food preservation, printing and graphics, textile, mining, sugar technology, etc. greatly in demand in the job market shall be introduced in selected polytechnics. A National Council for Technical Education shall be established to regulate technical education.

Higher Education
Access to higher education shall be expanded to at least 5% of the age group 17-23 by the year 2010. Merit shall be the only criterion for entry into higher education. Access to higher education, therefore, shall be based on entrance tests. Reputed degree colleges shall be given autonomy and degree awarding status. Degree colleges shall have the option to affiliate with any recognized Pakistani university or degree awarding institution for examination and award of degrees. To attract highly talented qualified teachers, the university staff will be paid at higher rates than usual grades. Local M.Phil. and Ph.D programs shall be launched and laboratory and library facilities will be strengthened. Split Ph.D programs shall be launched in collaboration with reputed foreign universities and at the minimum, 100 scholars shall be annually trained under this arrangement. All quota/reserve seats shall be eliminated. Students from backward areas, who clear entry tests, would compete amongst themselves. In order to eliminate violence, all political activities on the campus shall be banned.

Information Technology
Computers shall be introduced in secondary schools in a phased manner. School curricula shall be revised to include recent developments in information technology, such as software development, the Information Super Highway designing Web Pages, etc
Library and Documentation Services
School, college and university libraries shall be equipped with the latest reading materials/services. Internet connection with computer shall be given to each library. Mobile library services for semi-urban and remote rural areas shall be introduced.

Private Sector in Education
Encouraging private investment in education. There shall be regulatory bodies at the national and provincial levels to regulate activities and smooth functioning of privately-managed schools and institutions of higher education through proper rules and regulations. A reasonable tax rebate shall be granted on the expenditure incurred on the setting-up of educational facilities by the private sector. Matching grants shall be provided for establishing educational institutions by the private sector in the rural areas or poor urban areas through Education Foundations. Existing institutions of higher learning shall be allowed to negotiate for financial assistance with donor agencies in collaboration with the Ministry of Education. Educational institutions to be set up in the private sector shall be provided (a) plots in residential schemes on reserve prices, and (b) rebate on income tax, like industry. Schools running on non-profit basis shall be exempted from all taxes. Curricula of private institutions must conform to the principles laid down in the Federal Supervision of curricula, Textbooks and Maintenance of Standards of Education Act, 1976. The fee structure of the privately managed educational institutions shall be developed in consultation with the government.

Innovative Programes
The National Education Testing Service will be established to design and administer standardized tests for admission to professional institutions. Qualifying these tests will become a compulsory requirement for entry to professional education. This mechanism is expected to check the incidence of malpractice in examinations. Likewise, standardized tests shall be introduced for admission to general education in universities.
Implementation Monitoring And Evaluation
A comprehensive monitoring and evaluation system has been envisaged from grass-roots to the highest level. The District Education Authority will be established in each district to ensure public participation in monitoring and implementation. The education Ministers at the Federal and Provincial levels will oversee monitoring committees, responsible for implementation at their levels. The Prime Minister and Provincial Chief Ministers will be the Chief of National and Provincial Education Councils respectively which will ensure achievements of targets. Existing EMIS at Federal and Provincial levels shall be strengthened to make them responsive to the need of Monitoring and Evaluation System (MES).The Academy of Educational Planning and Management (AEPAM) shall be strengthened and tuned up to meet the emerging demands of MES and its obligations at national and provincial levels. Data collected through Provincial EMISs and collated by AEPAM through National Education Management Information System (NEMIS) shall be recognized as one source for planning, management, monitoring, and evaluation purposes to avoid disparities and confusion. Databases of critical indicators on qualitative aspects of educational growth shall be developed and maintained by AEPAM for developing sustainable indicators of progress, based on more reliable and valid data to facilitate planning, implementation and follow-up. A School Census Day shall be fixed for collecting data from all over the country.

The total expenditure of the government on education will be raised from its present level of 2.2% to 4% of GNP by the year 2002-03 (p.132).

Possible Sources of educational Financing:


In Pakistan the budget allocated to education is low. Pakistan is now on just twelve
countries that spend less than 2 percent of GDP on education (ICG, 2004). Although
education enjoys the highest priority on the social sector agenda, which as a whole is
poorly funded when compared to defense, general administration and debt servicing,
allocations are modest due to indispensable rigidities such as resource constraints, large
establishment bills due to a large salaried-workforce and heavy debt interest repayments,
arising from different priority commitments of the country in the financial system of
Pakistan (MOE, 2003).
As national expenditures have always far exceeded revenue collection, fiscal deficits
have remained high. Historically, there has been a heavy reliance on external borrowing
to close the resource gap. In addition a much higher segment of the budget is allocated to
defense. Interest payments and defense expenditures constitute the highest proportions of the expenditures (MOE, 2003).

Federal to provincial
In Pakistan, revenue sharing is the dominant form of federal-provincial fiscal relations.
The main source of provincial revenues is a transfer, based on a share of federal tax
collections. The decision on the list of taxes to be shared (divisible pool), the ratio of the
provincial-federal share of the pool and the formula for its distribution to the provinces is
to be fixed at least once every five years by the National Finance Commission (NFC)
established under Article 160 of the Constitution. The NFC last rendered a decision
(called an Award) in 1997, allocating to the provinces 37.5 percent of the divisible pool,
comprising all major federal taxes, with distribution to the provinces according to a single
criterion—population (based on the 1981 Census of Population) (ABD/WB/DFID, 2004).
Besides determining the taxes to be included in the Divisible Pool and the respective
shares of the federal and provincial governments, the NFC also determines other tax and
non-tax revenues that would be provided to the provincial government as Straight
Transfers7.
The 1997 NFC awards consisted of three components (ADB/WB/DFID, 2004):
(a) revenue sharing—distribution of a pool of federal revenues to provinces by formula;
(b) straight transfers—returning to the province of origin resource royalties, charges and
excises after deducting a federal collection fee; and
(c) Special lump-sum transfers to NWFP and Balochistan provinces to compensate for backwardness.

Provincial-local
Changes in fiscal transfers have been made to complement the devolution of expenditure
responsibilities. Mirroring the federal-provincial arrangements, transfers to local
government are accompanied by a system of unconditional fiscal transfers from the
provinces determined by Provincial Finance Commissions. However, and importantly,
the claims of local governments over the provinces are not the same as the provincial
sharing rights with the federal government, since local governments have no
constitutional rights to revenue sharing9 (ABD/WB/DFID, 2004).
All provinces have now established Provincial Finance Commissions, which have made 

awards for the distribution of provincial resources to local governments. According to the legislation establishing each PFC—containing only slight variations from the NRB’s
suggested model—the PFC evolves a formula for distribution of resources, including
distribution of the proceeds of the Provincial Consolidated Fund between the provincial
government and the local governments.
               The statutory basis for the PFCs was created through amendments to the Local
Government Ordinances nearly a year after local governments were created as
administrative entities. The legal provisions of the Ordinances aim at the creation of
medium-term, formula-based transfer systems. Progress in creating the necessary
secretariats and establishing the required analytic support for the PFCs was initially slow.
               The absence of a secretariat, offices for private members and budgetary allocations
represented a serious constraint on the PFCs’ work, but their situation has now grown
significantly better. The capacity of the Secretariats, the frequency of meetings and public
reporting and their interest in developing multiple grant systems are all improving.
Population is the most important indicator used in all provincial awards. A backwardness
index is used by three of the four provinces, and the two largest provinces incorporate
tax-effort provisions.

Earlier the district departments were just de-concentrated arms of the provincial
government with, by definition, no transfers. The lower tiers of local government
received no transfers from the province except for discretionary specific-purpose grants.
Now, predetermined shares of the Provincial Consolidated Funds are passed as transfers
that are non-lapsing. To enable this, district funds and TMA local funds were created as
accounting entities distinct from the provincial consolidated fund to prevent reappropriationy the province. The intention was that all local government expenditure
would be financed from own-source revenues or formula-based unconditional transfers.
 Three tier system
 Funds at the provincial level
Provincial expenditure on education is made up of the current expenditure and
development expenditure. The expenditure on provision of these services is incurred both
by the provincial and district governments. Primary, secondary education and colleges
are the responsibility of the district governments while professional colleges are the
responsibility of the provincial governments (HRCP, 2004).
Prior to the introduction of the new local government system in 2001, expenditure for
these services was borne by the provincial government and was therefore reflected in the
provincial budget. The devolution of functions has resulted in a massive decrease of
provincial education budget in Pakistan.
From the federal divisible pool federal share is kept and provincial share is transferred to
the provincial governments. From the provincial divisible pool, a certain proportion is
retained and the rest is allocated to the districts.

Funds at the district level
The share of the district governments determined by the PFC award is transferred as a
single line transfer to the district governments. The district governments are fully
empowered to allocate expenditures to various sectors in accordance with their own
spending priorities that are evident from the annual budgets approved by the zila
councils. The discretion of the district governments is, however, restricted by the demand
for salaries of the staff of the devolved departments which forms a major portion of the
recurrent budget (HRCP, 2004).

In the education sector, the district governments now have the lead responsibility in
deciding where to locate new schools and how to finance their construction, in addition to
inspecting schools to ensure that they comply with the standards and in carrying out the
annual evaluation of teachers and head teachers12. Under the District Coordinating
Officer, the Executive District Officer Education (EDO-E) is a new position at district
level with responsibility for the entire education sector as opposed to a particular branch
within the sector, as was previously the case. The EDO-E is required to take decisions on
allocation of resources across branches and levels of education (MOE, 2003).
With the setting up of district governments, a new Account No. IV, which is the district
account, was created under the LGO. All finances generated at the district level or
allocated to districts under special programs/grants are placed in this account The
ESR/EFA funds, president’s program grant under the education sector and the Khushal
Pakistan program funds13 are also allocated to this account.

The National Reconstruction Bureau (NRB)14 attempts to facilitate bottom-up financial
planning through CCBs, which are to operate at the village and union council levels. The
CCBs as explained in the last section are to be composed of non-elected citizen
volunteers who come together as an organized body. Access to funds is through a
matching grant scheme, whereby the CCBs must provide 20 percent of total funds in cash
to receive 80 percent of the approved budget. All registered civil society organizations,
including PTAs/SMCs, are to re-register as CCBs if they want access to district funds
(NRB, 2002). In addition, CCB projects must go through a complicated nine-step
process to receive grants.15

Usually the procedure to be followed to determine school priorities and planning
processes (Shah, 2003) is that the EDO (Education) makes proposals and identifies
schemes, which are submitted to the EDO (Planning/Finance). EDO (Finance) makes the
budget by prioritizing schemes and sends these schemes to the District Assembly/District
Development Committee (DDC) for consideration and approval. The DDC is chaired by
District Nazim among others EDO (education) is the member of DCC. The District
Coordinating Officer (DCO) presents ADP and schemes for approval in view of the
District budget provision. The approval limit of schemes by the DDC varies from
province to province. Usually it ranges from Rs two million up to four million. The DDC
can be an effective mechanism for community participation if all funds utilized come
under discussion and the District Education Department and schools are to show the
evidence of the money they spent. In principle if a scheme does not come under the
purview of DDC then it is usually sent to the province for consideration and approval by
the Provincial Development Working Party. The PDWP can approve schemes costing up
to Rs 200 million.
NGOs- Private organization in  Pakistan:
Pakistan has a vibrant diaspora of civil society organizations These range from: a) large government organized non-government organizations (GONGOs)at national and provincial levels b) Independent NGOs working at national and provincial levels c) District level NGOs d) small local level registered CSOs and e) Networks and alliances at national, provincial and local levels. In the education sector, the role of CSOs has always been vibrant in Pakistan. It has been expanding consistently since 1980s and exponentially during the 90s,as a response to: a) the poor quantity and quantity of public sector provision, b) neglect of, out of school children and youth and the vulnerable with particular focus on girls/women and c) inability of government to respond rapidly to challenges of emergencies and hard to reach. It is also important to add that since, 1990 Dakar Call for Action for Education For All (EFA)the government has been under enormous pressure to explore multiple options for widening its net in partnerships with non-state partners either through direct or indirect platforms. Whist the development partners are preferring budget based support through pubic financing systems, there is an underlying preference to engage with CSOs in service delivery options.

NCHD:
In 2001 the National Commission for Human Development (NCHD) was also established  as a federal statutory body through citizen led effort driven by expatriate Pakistanis. This was to be in partnership with the Government in terms of, location, endowments and recurrent budgets. The NCHD mandate is to support basic education/literacy and health programs along with encouraging youth volunteerism (www.nchd.org.pk) NCHD’s coverage was 84 districts of the country supporting basic education and literacy.
In their governance, such organizations GO NGOs, statutory an and semi autonomous bodies, dependent entirely on government goodwill and resources, have a large number of ex-officio members of the government on their Boards as well as representatives from the private sector including CSOs. These GO NGOs and semi autonomous bodies have helped the government enormously with outreach in over 124 out of 132 districts7 in addressing the vulnerable and to overcome the ‘trust deficit’ that exists between government and communities, and above all handling large amount of public funds. However, they have also crowded out smaller NGOs both in terms of government and development partners’ preferences. A glance at their annual budgets is quite self-explanatory
 Taxes:
Tax collections historically have constituted a smaller proportion of GDP than that of many other countries--between FY 1984 and FY 1992, they averaged 13.8 percent. The 1993 budget estimates called for an increase to 15.1 percent, up from 13.9 percent in FY 1992. Income and corporation taxes provided 12.9 percent of tax revenues in FY 1993. Tax evasion, however, is thought to be widespread. The agricultural sector was exempt from income tax until 1993, when a temporary levy on large landowners was introduced by the Qureshi government. In early 1994, it appeared unlikely that this tax would be reimposed by the new government led by Benazir, herself a large landowner in Sindh.
indirect taxes are the main source of revenue. They provided 84 percent of tax revenues in FY 1991 and an estimated 83 percent in FY 1992 and FY 1993. Customs duties were expected to account for 35.0 percent of all government taxes in FY 1993. Excise duties made up 17 percent of revenues, and sales taxes made up 10 percent. Potential foreign aid donors consider the heavy reliance on indirect taxes regressive and inflationary and an impediment to the general policy of trade liberalization. Under pressure from the International Monetary Fund (IMF--see Glossary), the government reduced import duty rates in the FY 1992 and FY 1993 budgets.
 Fee:
Tuition and fees, which currently cover a rather small portion of costs, should reflect the real cost of an educational program, but should neither be the main source of institutional funding nor an impediment to access for those who cannot afford the cost of education and subsistence. The full cost of the academic programs should be stated in the student's bill, with institutional subsidies clearly indicated, so that students and parents are made aware of the extensive support they are receiving.

Foreign Aid to Education in Pakistan
 The public sector resource gap is also widely recognized as a reason for dismal education
outcomes, and financing this gap is a raison d’ĂȘtre for donor involvement with the education sector in Pakistan. While Pakistan is not as aid-dependent as some of the African countries, foreign aid - both multilateral and bilateral - makes up a significant proportion of resources being allocated to the social sectors and their development in Pakistan. Pakistan is seventh in a list of twenty countries receiving the highest absolute amounts of aid for education over the period 2003-04. Pakistan received US$ 150.4 million as aid for its education sector in the year 2003. China leads the list with US $826.2 m in receipts, followed by Bangladesh (US$ 516m) and India (US$ 472.1m) (UNESCO, 2007). It is interesting to note however that though India receives more aid than Pakistan for its education sector, Pakistan is the more aid dependent country.
 Loans:
Asian Development Bank: ADB’s interventions in the education sector go back to the late seventies. The interventions, classified as program support, are mostly project-based. The predominant modality is budget support. Financial assistance to the government of Pakistan is through loans. The assistance is structured so the government puts in a specific proportion of the finances for each project while the rest is provided by ADB. While the proportion varies with different projects, ADB has funded up to 80 per cent of particular projects at one time. Recently the government’s funds make up a higher proportion of total project funding. Unlike the shifts in world bank’s policy foci, ADB’s policy has been fairly consistent over the decades with projects spanning most sub-sectors of the education sector including primary, secondary, technical and vocational training (Table 4). Project interventions aim at quality control in service delivery, teacher training, infrastructure development and improvement of facilities in addition to organizational management and planning. All projects have a federal and a  provincial component for each of the four provinces: the loan agreement is at the federal level and the project agreement at the provincial level. Project coverage is national unless a province opts out of a project or is left out for a specific reason (e.g. a girls secondary school project was not implemented in Punjab because the World Bank had a similar ongoing project in the province). Project design and their
implementation mechanisms have evolved over time. In the beginning a single project design was
implemented across the four provinces. Recently project design and implementation has become more province specific, with greater role given to the district and provincial governments in project design and implementation.
The Department for International Development (DFID):
UK provides both financial and technical assistance to the education sector in Pakistan. DFID’s aid to Pakistan has risen dramatically since 2001. Annual support from DFID in the nineties averaged 20-25 million pounds. This increased to 70 million pounds a year in 2002 –2003 and is expected to rise to 90 million pounds by the end of 20084. Although at present most of the large scale commitments are negotiated with the federal government, DFID is looking to increase interaction with provincial and district governments with regard to program planning and implementation. Until 2005/06, DFID interventions in the education sector have been restricted to project support mainly in Punjab and NWFP.
World Bank:
The Bank’s assistance to the education sector evolved in four phases. During the
early 70s, they concentrated on vocational and higher education projects. In the late seventies, as financial and administrative support shifted towards primary education projects reflecting the view that primary education carried the highest social rate of return, experimental primary education projects were supported in a number of districts throughout the country. The third phase began in 1985 with increased emphasis on province-based primary education projects. During this time the Bank focused its efforts and resources towards one province in particular – Punjab. In the 1990s the bank entered its fourth phase of aid policy evolution. Maintaining its focus on primary education the bank shifted its support from isolated project inputs in various locations all over the country to province-based sectoral programs.