Islamabad Set for Major Governance Overhaul: 27-Member Elected Assembly with Chief Minister or Mayor as Head
ISLAMABAD – The federal government has prepared a comprehensive reform package to transform the governance system of the Islamabad Capital Territory (ICT), proposing an elected regional government, an end to institutional fragmentation, and a shift towards an integrated “Smart City” model to improve service delivery and long-term urban planning.
The 138-page report, titled “ICT Governance Model,” was prepared by a high-level committee chaired by Planning Minister Ahsan Iqbal amid concerns that Islamabad has grown into a major city with over 2.4 million residents, but institutional development has failed to keep pace. The report has been submitted to Prime Minister Shehbaz Sharif.
At the heart of the proposal is the establishment of a representative Islamabad Capital Territory Government (ICTG), which will have administrative and financial autonomy equivalent to provincial governments while retaining Islamabad’s federal status.
Under the proposed structure, a 27-member Islamabad Capital Territory Assembly will be established, comprising 21 directly elected members, five seats reserved for women, and one for minorities. This assembly will elect its own head, who may be given the title of Chief Minister or Mayor — a decision to be made by the federal government.
According to the plan, all powers except law and order and master planning will be devolved to the ICT government, as these two areas will remain with the federation due to the capital’s status. Additionally, administrative responsibilities currently under federal ministries and bodies — including the Capital Development Authority (CDA) — will be transferred to the ICT government to eliminate overlapping authority and institutional contradictions.
The reform package also includes a proposed comprehensive “Islamabad Capital Territory Government Act,” which will consolidate existing local government and development laws into a single legal framework. The ICT government will operate under its own rules of business, clearly defining departmental structures, administrative hierarchies, and financial powers.
For implementation, the report recommends the formation of multiple committees. A legislative committee will draft laws, including the Minister of Law, ICT members of the National Assembly, secretaries of law and interior, the CDA chairman, and other members. A financial committee headed by the Planning Minister will determine the mechanism for resource distribution and local tax utilization. A transition committee will oversee the phased transfer of powers and administrative continuity.
According to the report, these reforms are not expected to significantly increase the financial burden, as the focus is on restructuring and integrating existing institutions rather than creating new ones, aside from a few reforms. The final decision on resource provision by the federal government and local tax utilization will be made under the financial framework.
A key component of the plan is the “Islamabad Smart City Model,” aimed at transforming the capital into a modern, eco-friendly city aligned with urban needs. The model prioritizes institutional reforms, recognizing that digital transformation alone cannot resolve governance issues without structural changes. The Smart City vision rests on three pillars: making Islamabad a “nature capital” through environmental tourism and conservation, strengthening urban identity and economic activity by promoting culture and heritage, and creating an open, inclusive capital that fosters public participation and global connections. According to the report, the “Destination Islamabad” strategy could boost tourism, create employment opportunities, attract private investment, and improve local revenue.
