The International Monetary Fund (IMF) has directed the Ministry of Finance and the State Bank of Pakistan (SBP) to jointly devise a sustainable funding mechanism for the Pakistan Remittances Initiative (PRI).
The finance secretary disclosed this during a briefing to the National Assembly Standing Committee on Finance on Wednesday. He confirmed that no funds were earmarked for the PRI this fiscal year, compared to Rs. 89 billion last year, which eventually crossed Rs. 100 billion in actual payouts.
The committee raised concerns that the PRI reward payments are becoming a new form of circular debt.
The revised scheme reduces the reward to a flat 20 riyals per transaction, regardless of size, and raises the minimum eligible remittance amount from $100 to $200.
Separately, the committee reviewed the “Parliamentary Budget Office Bill 2025” which seeks to establish a budget office to improve fiscal oversight. The finance secretary said no legislation is required for such an office and recommended keeping it lean. A subcommittee was formed to review the bill and submit a report in 30 days.
The committee also deferred the agenda item on the new electric vehicle policy.