The Economic Coordination Committee (ECC) of the cabinet on Friday allowed the export of selected commodities to Afghanistan against Pakistani currency.
The ECC meeting, virtually chaired by Federal Minister for Finance and Revenue Shaukat Tarin, considering the food crisis and prevailing situation of Afghanistan, approved the summary presented by the Ministry of Commerce (MoC) and allowed the export of selected commodities to Afghanistan against Pakistan currency by adding them to the list of items at Para-7(1) of Export Policy Order, 2020.
The committee further made amendments in the relevant paras of Export Policy Order, 2020 and approved the summary tabled by MoC to increase the quota limit for export of samples to $25000 or 0.1 percent of actual export proceeds during the previous fiscal year in US dollars per exporter per annum.
The committee also decided to remove 45 percent Regularity Duty on imports of Chilgoza from Afghanistan as the reduction in tariff will encourage the legal import of unprocessed Chilgoza for processing in the country for exports. Further, the removal of tariffs will also be instrumental in the creation of jobs in the far-flung areas of border regions of Khyber Pakhtunkhwa (KP) and economically backward areas of Balochistan.
During its meeting, the ECC also approved a proposal submitted by the Finance Division for engaging the services of a third party to carry out the Monitoring and Evaluation (M&E) functions of the Kamyab Pakistan Programme (KPP). Previously, Pakistan Poverty Alleviation Fund (PPAF) was responsible for carrying out the M&E functions of KPP, however, it isn’t able to proceed with the responsibility due to its legal status.
Finance Division presented a summary to resolve the issue of reversal of Foreign Commonwealth and Development Office (FCDO) unspent grant funds under an amendment to MoU with a proposal to establish a new Credit Guarantee Company (CGC). The company will possess 56 percent shareholding of FCDO through Karandaaz (unspent funds) and the rest of 44 percent shareholding will be of the Government of Pakistan, with the mandate of issuance of Credit Guarantees against financing in the Small-Medium Enterprise (SME) sector. The ECC deliberated over the summary and approved it.
Ministry of Water Resources tabled a summary on a compensation package for the affected Chinese nationals of the Dasu Hydropower Project incident. The ECC after deliberation and considering the depth of Pakistan’s relationship with China approved the proposal of payment of $11.6 million as a goodwill gesture on a government level.
Federal Minister for National Food Security and Research Syed Fakhar Imam, Federal Minister for Industries and Production Makhdoom Khusro Bakhtiar, Federal Minister for Water Resources Chaudhry Moonis Elahi, federal secretaries and senior officers attended the meeting.