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ECC Empowers Finance Minister to Grant Honorariums to Govt Employees

The Economic Coordination Committee (ECC) of the Cabinet on Monday approved a new policy for the grant of honourarium to federal government employees. Civil servants will receive incentive payments for exceptional performance across ministries and departments.

Chaired by Finance Minister Senator Muhammad Aurangzeb, the ECC also cleared over Rs. 60 billion in technical supplementary grants (TSGs) for a wide range of federal initiatives, including loan repayments, power sector projects, development schemes, defence upgrades, and social welfare programs.

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Major Technical Supplementary Grants Approved

Among the largest allocations, the ECC approved:

  • Rs 40.34 billion for the Economic Affairs Division to cover revised budget estimates for repayment of short-term foreign loans.

  • Rs 5.6 billion for the Women Inclusive Finance (WIF) project under the ADB, as rupee cover.

  • Rs 1.889 billion for the Ministry of Information and Broadcasting to clear advertising dues and other expenses.

  • Rs 2.15 billion for the Ministry of Housing and Works, to be transferred to the Pakistan Infrastructure Development Company Ltd for development schemes in District Swabi.

  • Rs 1.7 billion for the technological upgradation of ISPR.

Funds for International Engagement and Public Welfare

The ECC approved:

  • Rs. 1.2 billion for arrangements related to hosting the 23rd Shanghai Cooperation Organisation (SCO) Heads of State meeting in Islamabad.

  • Rs. 100 million as a grant-in-aid to SOS Children’s Villages Pakistan.

  • Rs. 750 million for development expenditure in the Power Division.

  • Rs. 50 million for PILDAT to support democracy promotion initiatives.

Allocations for Interior, Defence, and Social Sector

Multiple allocations were made to the Ministry of Interior, including:

  • Rs. 400 million for SDG-related development under the Sustainable Development Goals Achievement Program.

  • Rs. 231.9 million for the civil armed forces.

  • Rs. 64 million for staff transferred to CDA from Pakistan PWD.

  • Rs. 14 million for employee-related expenditures of the Ministry of Kashmir Affairs and Gilgit-Baltistan.

Other grants included:

  • Rs. 2.75 million for the Prime Minister’s Youth Skill Development Program under the Ministry of Federal Education.

  • Rs. 2.232 million for the Ministry of Law and Justice for district court projects in Islamabad.

Power Purchase, Oil Pipeline, and Policy Changes

The ECC approved the tripartite power purchase agreement for the 1,145 MW Karachi Nuclear Power Plant Units 2 and 3 (K-2/K-3).

The committee also supported the Machike–Thallian–Tarrujabba White Oil Pipeline project but deferred its approval to the next meeting for further financial and operational review by the relevant ministries.

In policy matters, the ECC:

  • Approved an amendment in the import policy order to benefit state-owned defence production entities and their subsidiaries.

  • Cleared the creation of a Women Inclusive Finance Support Fund Trust under the ADB-supported initiative.

  • Approved minimum indicative prices and cess rates for the 2025 tobacco crop, while instructing the Ministry of National Food Security to formulate a long-term plan to deregulate crop pricing.

  • Endorsed the transfer of Hyderabad and Karachi development packages (PSDP #223 and #222) from the Government of Sindh to PIDCL.

The meeting was attended by Minister for Power Sardar Awais Ahmed Khan Leghari, Minister for Investment Qaiser Ahmed Sheikh, SAPM on Industries Haroon Akhtar Khan, SECP Chairman, and senior officials from relevant federal ministries and divisions.

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