This research investigates the query of federation and conflict, issues related to fiscal, political, and policy autonomy in Pakistan’s federalism. It reviews the concepts of federalism, consociationalism and the history of federalism in Pakistan as rooted in different Acts and constitutions. It supports the promises, powers and practices under the 18th Amendment Act 2010. Generally the concept of research is that although democracy and federalism are essential in multiethnic societies like Pakistan, there is an inevitable need of mainstreaming minorities in decision-making processes .So that, a sense of pleasantly co-existing multiple identities can prosper and consequential aggressive clashes can be avoided.