global experience dividing

The Global Experience of Dividing Large Provinces …

By Augustine Nasim Gill

The debate over new provinces or smaller administrative units in Pakistan should not be reduced to maps, language, identity, or political representation. The central question should be whether new administrative units will improve governance, bring public services closer to citizens, strengthen revenue collection, reinforce the rule of law, and restore public confidence in the state.

Many countries have improved administrative performance by transferring authority from the center to states, regions, districts, and local governments. Yet these experiences have not all been equally successful. Where political authority was matched by adequate financing, competent administration, credible elections, the rule of law, and strong oversight, results generally improved. Where governments merely created new boundaries, assemblies, and ministries while corruption, patronage, and weak institutions remained unchanged, costs increased without transforming citizens’ lives.

A Basic Distinction Must Come First

Creating new provinces and genuinely devolving power are not the same thing. Successful decentralization has at least four dimensions:

Four Essential Pillars

  • Political authority: Local and regional governments must be created through regular, free, and fair elections.
  • Administrative authority: They must have genuine authority to manage departments, appoint qualified personnel, and hold officials accountable for performance.
  • Fiscal authority: Their responsibilities must be matched by revenue powers, a predictable share of national taxes, grants, and budgets.
  • Legal and institutional authority: Their powers must be protected by the Constitution or strong legislation so that federal or provincial governments cannot abolish them at will.

Why Smaller Administrative Units Can Succeed

Smaller, empowered units bring government closer to citizens. Residents of remote districts are less likely to travel hundreds of kilometers to a provincial capital for matters involving land, education, health, policing, courts, or development projects.

Regional governments also understand local conditions more clearly. The coastal areas of Balochistan, the agricultural districts of southern Punjab, a major metropolis such as Karachi, and the mountainous or tribal areas of Khyber Pakhtunkhwa do not face identical challenges. A single policy designed in one provincial capital is often unable to respond effectively to such diversity.

Smaller units can also increase political accountability. Citizens can more clearly observe the performance of their chief minister, ministers, mayors, district leaders, and civil administration. This benefit, however, appears only where elections are credible, information is open, and oversight institutions are independent.

1. Germany: Shared Powers, Shared Taxes, and Fiscal Equalization

Germany is a federal country composed of sixteen states, known as Länder. Each state has its own constitution, parliament, and government, and enjoys substantial autonomy over its internal organization.

The federal government is responsible for national defense, foreign policy, currency, and broad national legislation. The states play central roles in education, policing, culture, public administration, and the implementation of many laws. Municipal governments provide water, sanitation, local transport, urban planning, and many daily services.

Major taxes are not retained exclusively by the federal government. Personal income tax, corporate income tax, and value-added tax are shared among the federal government, the states, and, in some cases, municipalities according to established rules. A fiscal equalization system then narrows the gap between wealthier states and those with weaker revenue capacity.

Germany’s success is not simply the result of having sixteen states. It rests on clearly defined responsibilities, a strong tax administration, judicial oversight, a professional civil service, and a predictable equalization system.

Lesson for Pakistan: Before new provinces are created, the country must decide how income tax, sales tax, customs duties, natural-resource revenue, property taxes, and other revenues will be divided. A permanent, transparent, and publicly understood formula is essential.

2. Spain: Regional Autonomy, Public Services, and Different Fiscal Models

Spain is composed of seventeen autonomous communities. These regional governments exercise wide authority over health, education, social services, and regional development.

Most regions receive a share of national taxes, limited authority over certain taxes, and equalization grants. The Basque Country and Navarre have broader tax-collection powers: they collect most taxes within their territories and then transfer an agreed contribution to the central government for national services.

Regional government strengthened education, health services, and local identity, but Spain has also faced regional debt, fiscal imbalances, and separatist political movements. The lesson is that autonomy is not only a financial issue; national identity, constitutional boundaries, and commitment to the shared state also matter.

Lesson for Pakistan: New units should not be designed solely around language. Administrative efficiency, population, economic viability, public consent, and national cohesion must all be considered.

3. Poland: Phased Reform, a Three-Tier System, and Local Development

Poland did not devolve authority in a single step after the end of communist rule. Municipal self-government was restored in 1990, and a three-tier system was established in 1998-99: the municipality (Gmina), the county or district (Powiat), and the region (Voivodeship).

Municipalities became responsible for water, sanitation, local roads, primary education, and local development. Districts managed services that were too large for one municipality but too limited for an entire region. Regional governments took responsibility for economic development, regional planning, and the management of European development funds.

The reform succeeded because it was phased, local institutions were prepared, elected representatives were trained, professional administrations were developed, budgets were transferred, and responsibilities were defined.

The continuing challenge is that not every municipality or district has equal administrative capacity. Some smaller units remain weak in planning, data, financial management, and specialist staffing.

Lesson for Pakistan: Rather than creating many provinces overnight, Pakistan should begin with administrative pilots, stronger districts, digital systems, training, and independent audit in selected areas.

4. France: Gradual Decentralization from a Centralized State

France was historically a highly centralized state, but beginning in the 1980s it gradually transferred authority from the central government to regions, departments, and communes.

Regional governments manage economic development, transport, and some education and training functions. Departments play major roles in social welfare, certain roads, and local services, while communes provide day-to-day municipal services.

Small municipalities often cooperate through joint institutions to manage water, waste, transport, and territorial planning.

France’s challenge has been that responsibilities across different layers sometimes overlap or remain unclear, increasing administrative complexity and costs.

Lesson for Pakistan: The responsibilities of every level of government must be defined in law so that the federation, provinces, districts, and municipalities are not all nominally responsible for the same service.

5. India: New States, Constitutional Revenue Sharing, and Mixed Results

India has repeatedly altered state boundaries and created new states since independence. Uttarakhand, Jharkhand, Chhattisgarh, and Telangana were established in response to regional, administrative, and economic demands.

An independent Finance Commission periodically recommends the share of divisible national taxes to be transferred from the Union to the states and the formula for distributing those resources among states. Population, income disparities, area, forests, tax effort, and other needs are considered.

Some new states achieved better administrative attention, infrastructure, and economic growth. In others, corruption, political instability, capture of mineral resources, weak institutions, and social inequality persisted.

The central lesson is that a smaller province does not automatically eliminate corruption; it may simply relocate corruption to a lower level.

Lesson for Pakistan: Before new provinces are created, public-service commissions, police, accountability systems, auditors, courts, elections, and public procurement must be protected from political interference.

Conditions That Make Decentralization Successful

1. Confront Corruption First

In Pakistan’s context, this is the most important condition. If new units are handed to the same corrupt political, administrative, and commercial networks, new governments will become new sources of patronage rather than institutions of public service.

Anti-corruption reform must not become political revenge. It requires independent accountability bodies, open contracting, digital payments, declarations of assets and conflicts of interest, an independent auditor general, access to information, prompt but fair judicial proceedings, and comprehensive e-procurement.

2. Free and Fair Elections

Governments in new administrative units will be legitimate only if elections are free, transparent, and credible. Constituency boundaries, candidate eligibility, voting, counting, results, and government formation must all be open to verification.

Manufactured or predetermined referendums will not create legitimacy. Public consultation must be genuine, free, informed, and independently verifiable.

3. Strict Merit and Competent Appointments

New provinces will require thousands of civil servants, police officers, teachers, doctors, engineers, financial experts, and administrators. These appointments must not be based on clan, family, marriage or personal relationships, religious affiliation, political loyalty, or civilian or military patronage.

Independent provincial public-service commissions, open examinations, standardized interviews, published merit lists, background checks, and a right of judicial appeal will be essential.

4. Resources Must Follow Responsibilities

If a district or province is responsible for schools, hospitals, and policing but lacks the money to operate them, decentralization will fail. Every transferred responsibility must be matched by adequate, secure, and predictable financial resources.

5. Local Revenues

Every new unit should have some own-source revenues, such as property tax, an effective agricultural income tax, motor-vehicle tax, local service fees, building permits and development charges, and selected business or tourism levies.

Tax rates, collection procedures, exemptions, audit, and appeal mechanisms must be transparent and consistent.

6. A Predictable Share of National Taxes

A share of personal income tax, corporate tax, general sales tax, customs duties, and natural-resource revenue should be transferred to provinces through a predictable formula.

The formula should consider not only population, but also poverty, area, underdevelopment, tax effort, health and education needs, environmental responsibilities, and border and security costs.

7. Fiscal Equalization

Large industrial and commercial centers will naturally collect more revenue, while remote, mountainous, or underdeveloped regions may have weaker tax capacity. A fiscal equalization system is therefore necessary to ensure that every Pakistani receives a minimum standard of education, health, policing, water, and infrastructure.

8. Limits on Borrowing

New provincial governments should not have unlimited borrowing authority. Each province should be subject to a debt ceiling, a fiscal-responsibility law, annual independent audits, deficit limits, and full disclosure of the liabilities of provincial public enterprises.

9. Education, Technology, and Training

Constructing new buildings is easy; building a competent administration is difficult. Pakistan must prepare public-administration academies, digital land records, integrated tax systems, e-procurement, police data systems, school and health dashboards, and continuous professional training before large-scale restructuring.

10. An Independent Justice System and the Rule of Law

New provinces will succeed only where courts are independent, police are professional, prosecutors are effective, and the law applies equally. If powerful landlords, business interests, politicians, bureaucrats, or institutions remain above the law, administrative restructuring will not benefit ordinary citizens.

A Proposed Roadmap for Pakistan

Phase One: Build Trust

The government should first reduce its own privileges, begin merit-based appointments, take impartial action against corruption and smuggling, and demonstrate initial reforms in policing and justice.

Phase Two: Establish an Independent National Commission

Pakistan should create an independent National Commission on Administrative and Fiscal Reform, including constitutional experts, economists, former civil servants, tax specialists, universities, the business community, women, young people, minorities, and representatives of every region.

Phase Three: Conduct Open Public Consultation

Every proposed new unit should hold public hearings, commission expert reports, invite digital submissions, obtain district-level resolutions, and conduct independent surveys. All evidence should be publicly available.

Phase Four: Publish a Fiscal Viability Assessment

Each proposal should disclose expected own-source revenue, federal transfers, administrative costs, staffing requirements, the cost of a capital and infrastructure, spending on education, health, and policing, and at least a ten-year financial plan.

Phase Five: Implement Gradually

Rather than creating many units simultaneously, reform could begin in two or three areas in phases, provided that constitutional, political, and public agreement exists.

Phase Six: Require Independent Evaluation

After five years, an independent review should measure education, health, revenue collection, policing, employment, corruption, local investment, citizen satisfaction, and fiscal discipline.

Final Word

International experience does not prove that smaller provinces always succeed. It shows that government which is closer to the people, accountable, and fiscally empowered can produce better results.

Success requires much more than changing a map. Elections must be fair, appointments must be based on merit, the law must apply equally, taxation and spending must be transparent, the judiciary must be independent, local governments must be empowered, and corruption must have no safe haven.

New provinces could become a historic opportunity for Pakistan, but only if they transfer power to citizens rather than merely create positions for a new group of rulers.

If the old system is simply placed inside new boundaries, Pakistan will gain new provinces but not new governance. The country must first clean the system, prove its intentions, prepare competent people, define fiscal rules, and involve the public. Administrative restructuring can then make Pakistan more organized, more just, and more resilient.

Selected References

  • Council of Europe: European Charter of Local Self-Government and the principle of subsidiarity.
  • German Federal Ministry of Finance: Federal fiscal relations, shared taxes, and fiscal equalization.
  • Government of Spain, Ministry of Finance: Financing of the Autonomous Communities.
  • OECD: Decentralisation, local governance, and Poland’s territorial reforms.
  • OECD: Inter-municipal cooperation and local service delivery in France and other OECD countries.
  • Finance Commission of India: Constitutional tax devolution and grants to states and local governments.

    About the Author

    Augustine Nasim Gill is a Pakistani-American author and an international development, governance, humanitarian, and disaster-management professional. Over more than three decades, he has served in leadership and management roles across Asia, Europe, the Middle East, Africa, and North America. He is the founder of the Hope Dialogue platform, which promotes civil, constructive, and evidence-based discussion on Pakistan and global affairs, and he writes regularly on governance, democracy, institutional reform, and national development in Pakistan.

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    “By failing to prepare you are preparing to fail”—Benjamin Franklin Every monsoon, Lahore receives heavy rainfall. Every monsoon, the city appears surprised. Roads become rivers, underpasses become lakes, vehicles remain stranded for hours, businesses suspend operations, electricity fails in several localities and thousands of citizens find themselves trapped in their homes. Public officials then appear before cameras to assure the public that “all machinery has been mobilised” and “field staff are working round the clock”. The question, however, is not whether officials worked after the city was submerged. The real question is why a city that has witnessed identical scenes for decades still lacks the institutional capacity to manage a predictable annual event. Rain is not the problem. It is governance. The latest spell of heavy rainfall has once again exposed the widening gap between Lahore’s physical expansion and its institutional preparedness. It has demonstrated that despite billions of rupees spent on roads, flyovers, underpasses, signal-free corridors and housing developments, the city’s drainage infrastructure has remained dangerously inadequate. Nature merely revealed what administrative complacency had concealed. Lahore today is managed by a bewildering network of public institutions—the Lahore Development Authority (LDA), Traffic Engineering and Planning Agency (TEPA), Water and Sanitation Agency (WASA), Metropolitan Corporation Lahore, district administration, Punjab Housing and Town Planning Agency, Parks and Horticulture Authority and several cantonment boards. Each possesses defined statutory functions, separate budgets, independent administrative structures and overlapping jurisdictions. Yet when rain falls, responsibility becomes everyone’s—and therefore no one’s. The ordinary citizen neither understands nor cares which agency is legally responsible for a flooded road, a blocked drain or an inundated underpass. Citizens judge governments by outcomes, not organisational charts. If roads remain submerged for hours, traffic collapses across the city and commercial activity comes to a standstill, institutional fragmentation cannot become an excuse for collective failure. LDA deserves particular scrutiny because it has shaped Lahore’s urban landscape over the past several decades. Successive development plans have emphasised visible infrastructure and horizontal urban expansion. New housing societies continue to receive approvals while commercial activity spreads rapidly beyond the city’s traditional limits. However, sustainable urban development involves much more than constructing roads and approving layouts. It requires integrated planning for drainage, groundwater recharge, storm-water management, environmental protection and climate resilience. These objectives have too often been subordinated to short-term development priorities. The consequences are now visible across Lahore. Natural water channels have disappeared under concrete. Green areas have steadily declined. Impervious surfaces have multiplied. Urban sprawl has accelerated. Rainwater that once infiltrated open land now accumulates almost instantly on concrete roads and paved surfaces, overwhelming drainage systems that were designed for a much smaller city. The engineering challenge has fundamentally changed but not institutional thinking. TEPA has undoubtedly transformed Lahore’s transport infrastructure through extensive investment in roads, bridges and underpasses. Yet transport engineering cannot be separated from storm-water engineering. Every major road project should answer a simple question before construction begins: Where will the rainwater go? Unfortunately, repeated flooding of important roads and underpasses suggests that drainage considerations have often received less attention than traffic movement. Infrastructure cannot be described as successful merely because vehicles move efficiently during dry weather. Infrastructure succeeds only when it continues functioning under adverse conditions. Modern cities are designed not for ideal weather but for extreme weather. That is precisely where Lahore repeatedly fails. WASA occupies the frontline whenever urban flooding occurs. Its officers and field staff frequently work under extraordinarily difficult circumstances and deserve recognition for their commitment. Yet institutional performance cannot be evaluated solely by emergency response. Pumping millions of gallons of water after roads have flooded does not represent successful urban management. It merely demonstrates that preventive systems were insufficient. Effective drainage begins months before the monsoon through systematic desilting of drains, cleaning of disposal stations, maintenance of pumping equipment, removal of encroachments on natural waterways and continuous monitoring of vulnerable locations. Emergency pumping should remain the exception. In Lahore, it has become the annual strategy. The larger issue extends beyond engineering. It concerns public administration itself. Urban governance in Lahore suffers from fragmentation without coordination. One agency constructs roads. Another manages drainage. A third approves housing schemes. A fourth regulates utilities. A fifth removes encroachments. Each agency performs its own function with limited institutional integration. The result is predictable. Roads are constructed without adequate drainage capacity. Housing schemes are approved without corresponding investment in trunk infrastructure. Natural drainage channels disappear beneath commercial development. Freshly constructed roads are repeatedly excavated by utility agencies. Responsibility becomes divided while accountability disappears. Climate change has unquestionably intensified rainfall patterns across South Asia. Extreme precipitation events are becoming more frequent. However, climate change cannot become an administrative defence. If rainfall patterns have changed, engineering standards must also change. If cities are expanding, drainage systems must expand accordingly. If scientific forecasts predict greater climate volatility, development planning must incorporate those projections rather than relying upon obsolete assumptions. Unfortunately, Lahore continues to respond to twenty-first-century climate realities with twentieth-century infrastructure. The economic costs of this governance failure are substantial. Businesses lose valuable operating hours. Industrial production is disrupted. Supply chains are interrupted. Thousands of daily wage earners lose income. Motor vehicles suffer avoidable damage. Insurance costs increase. Property values decline in repeatedly flooded neighbourhoods. Public health deteriorates as stagnant water increases the risk of waterborne diseases. Collectively, these recurring economic losses almost certainly exceed the annual cost of maintaining a modern storm-water management system raising an uncomfortable question. If billions of rupees can be allocated annually for visible infrastructure projects, why does preventive maintenance remain persistently underfunded? Public finance should not reward ribbon-cutting ceremonies while neglecting maintenance. Maintenance rarely attracts political attention but its absence always attracts public suffering. The constitutional dimension is equally significant. Article 9 of the Constitution guarantees the right to life, a concept repeatedly interpreted by superior courts to include living with dignity, safety and a healthy environment. Article 14 protects human dignity, while Article 38 obliges the State to promote the social and economic well-being of the people.

  • How much do we love Pakistan?

    Patriotism is not a loud noise that we hear only on the 14th of August. It is not only flags on the streets, or songs on television, or speeches in big grounds. Real patriotism is a quiet light that burns in the heart of a common man, every single day. It lives in the way we treat our country when no one is watching. It lives in the small choices we make from morning till night. Pakistan was not given to us as a gift. It was bought with blood, with tears, with the prayers of mothers and the sacrifices of fathers. Millions left their homes. Millions never returned. Today, the debt of that sacrifice is on us. And how do we pay that debt? Not always with great battles. Often, we pay it with small, honest, and consistent acts. Look around you. When a young boy in Lahore gets up early and sweeps the street in front of his house without waiting for anyone to tell him, that is patriotism. When a shopkeeper in Karachi refuses to sell expired medicine to a poor child, even when he could earn more, that is patriotism. When a teacher in Peshawar stays for ten extra minutes to explain one more sum to a weak student, that is patriotism. When a driver in Islamabad stops at the red light at 2 AM when the roads are empty, that is patriotism. The world may not clap for them. Cameras may not follow them. But Allah sees. And the nation grows stronger because of them. Consider our daily life. We waste water while brushing our teeth. We throw plastic on the road and then complain that the drains are blocked. We break the queue and then blame the system for being corrupt. But a true patriot asks a different question. He asks, “What can I do today?” He turns off the extra fan. He plants one tree in his street. He picks up one wrapper and puts it in the dustbin. One person doing this means nothing. But when two hundred and forty million people do this, rivers become clean, cities become beautiful, and the government saves billions that can go to schools and hospitals instead of cleaning our mess. Now look at our work. A nation is built in offices, in fields, in factories, and in classrooms. The doctor who treats every patient with the same care, whether he is rich or poor, is serving Pakistan. The engineer who builds a bridge that does not fall for fifty years is serving Pakistan. The farmer who works under the hot sun of Punjab and Sindh to grow wheat so that no child sleeps hungry is serving Pakistan. The coder in Lahore who earns dollars from clients abroad and brings that money back to Pakistan is serving Pakistan. Even the mother at home who raises her children with honesty and faith is serving Pakistan. These are not small jobs. These are the pillars of a nation. In today’s world, patriotism also lives on our phones. Every day we forward messages. Every day we post something. A patriot thinks before he types. He does not spread hate between provinces. He does not share a lie to get more likes. He speaks about Pakistan with pride, even when he is criticizing to improve. When a Pakistani student sits in London or Dubai and works hard and follows the law, he becomes the face of Pakistan. When he helps a stranger and says “I am from Pakistan” with his head high, he wins respect for all of us. We are a nation of diversity. We speak different languages. We wear different clothes. We eat different food. But we share one sky, one land, and one flag. True patriotism is when a Baloch, a Sindhi, a Punjabi, a Pashtun, and a Kashmiri sit at one table and say “We are Pakistani first.” It is when during floods, people from Gilgit send donations to people in Thar. No one asks your caste. No one asks your sect. We only ask, “How can we help?” That is the Pakistan of Quaid-e-Azam. That is the Pakistan we must protect. And what about our land? Our rivers, our mountains, our air? To harm them is to harm Pakistan. The patriot plants a tree. The patriot says no to plastic. The patriot keeps his mosque, his school, and his park clean. Because a dirty nation can never be a great nation. Dear readers, let us be clear. We do not need to do everything. But we must do something. Every day. Faith, Unity, Discipline. These were not just three words. They were a plan. Faith in Allah and in ourselves. Unity with each other despite our differences. And Discipline in our small, daily actions. Do not wait for a hero to come and fix everything. You are the hero. In your home. In your street. In your office. On 14th August we celebrate. But on 15th August, and 16th August, and every day after that, we must build. With honesty. With hard work. With love. Because nations are not built by what we say in one day. Nations are built by what we do in three hundred and sixty-five days.

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