On what basis Linguistic,ethinicity or development?Punjab seems to be perfectly the right size and relatively prosperous even when compared to some Indian states
Yes, I also think the samething. Whenever I see politics in Pakistan, I feel that Punjab is richest and most powerful state - almost large degree of important government positions and in military goes to Punjabis. This in a way victimizes the other states that feel they are neglected.
I hope you guys would take of Balochistan where I saw an elected leader complaining that his entire state less money than the capital. Dividing Punjab can do more good than harm.
Punjab province is close to 57% of Pakistan's total population, but Punjabis as an ethnic group (identified on the basis of having Punjabi as their mother tongue) are a plurality of around 44%. The difference is largely made up by the Seraiki speaking population which are a little over 10%.
South Punjab is not as developed as the rest of Punjab, which is why the argument is made that there should be a division and the PML-N came under a lot of criticism after their provincial budget recently in that very little was allocated to South Punjab for development when it is already more backward and undeveloped.
Revenue distribution in Pakistan has traditionally been on the basis of population. That obviously benefits the province with the larger populations. In itself it is not a bad criteria for distribution of resources. However other provinces have argued for including criteria such as 'backwardness and size of province (Baluchistan argues in favor of both while NWFP argues in favor of the former) and revenue collection (Sindh).
The current discussions on the NFC award (National Finance Commission - that provides the framework for vertical and horizontal distribution of resources between the center and the provinces), are focused on coming up with a composite basket of criteria for horizontal distribution of resources. Obviously every province wants to argue in favor of the criteria that nets it the most money.
Now on the subject of Baluchistan's revenue share - on the basis of the past criteria of 'population', Baluchistan gets more than its population as a proportion of the total population suggests.
Baluchistan only has a population of about 6 million - that is probably less than the current population of Lahore alone, which is why its revenue share has been so low, though it is higher than the other provinces on a per capita basis. I think they have a valid argument on the issue of allocating more resources to them on the basis of backwardness and size (Baluchistan is over 40% of Pakistan's territory), but even in a composite basket those criteria will have a relatively low weight - population will continue to be the largest factor in allocating resources, which is at it should be for the most part.
I think in the end what Baluchistan and the other provinces want is more fiscal and administrative accountability. As someone who believes in decentralization, I think that is important since it allows the people of every province to hold their provincial legislators accountable - what is the point of having massive provincial expenses in paying the salaries and perks of MPA's and provincial governments if they just pass the buck, for their failures, on to the Federal Government?