Implementing the 18th Amendment The trend in the current expenditure of the Federal Governments on staff salaries, including basic pay and allowances, pensions and operating costs is given in Table 6.1. The estimates for 2009-10 are prior to the 18 th Amendment. It is indeed surprising that there has been such a rapid increase in pay and allowances, even after the initial downsizing of the Federal Government. This is due to the policy of granting big increases in salaries. In one year, they were raised by as much as 50 percent. Also, the outlay on pensions has been going up annually by 15 percent. It appears that the 18 th Amendment has not stopped big increases in the cost of running the Federal Government. The Budget for 2021-22 has included another increase in allowances. Table 6.1: Estimates of Cost of Running the Civil Administration 2009-10 2014-15 Pay and Allowances 92.6 175.9 (16.0) Pensions 20.8 52.1 (23.0) Operating Costs 114.8 137.7 (4.5) TOTAL COST 228.2 365.7 (9.4)* * Annual Growth Rate Source: MOF (Rs in Billion) 2020-21(R.E) 295.8 (10.5) 111.2 (15.2) 192.2 (4.2) 599.2 (8.8) Turning to the Provincial Governments, a case study has been undertaken of the Government of Sindh. The equivalent of Divisions at the Federal Level is Departments at the Provincial level. In the case of Sindh, the number of departments was 34 just prior to the 18 th Amendment. Over the last decade the number has increased to 48. A big part of the proliferation, as shown in Chart 6.4, is due to departments with focus on social welfare. These include new departments for empowerment of persons with disabilities, human rights, katchi abadis , minorities affairs, rehabilitation, social welfare, special initiatives, women development and so on. Chart 6.4: Departments in Sindh Government • Agricultural Supply& Prices• Home • Auqaf, Religious Affairs, Zakat& Ushr • Board of Revenue • Human Rights** • Industries& Commerce • Chief Minister’s Secretariat• Information& Archives • College Education**• Information Science& Technology • Planning and Development • Population Welfare • Provincial Assembly of Sindh • Provincial Mohtasib** • Public Health Engineering & RD 55