ECC Approves Rs. 50 Billion Supplementary Grant for Defence Services

The Economic Coordination Committee (ECC) of the Cabinet met today at the Finance Division under the chairmanship of Senator Muhammad Aurangzeb, Federal Minister for Finance and Revenue, to consider a range of summaries pertaining to national security, defence, food security, and petroleum sector reforms.

A key decision of the meeting was the approval of a Rs. 50 billion Technical Supplementary Grant (TSG) for the Defence Services, enabling the execution of a series of already approved defence-related projects.

Earlier in the meeting, the ECC approved a TSG of Rs 100.3 million on the request of the Ministry of Interior & Narcotics Control for the maintenance and repair of defence equipment utilized by the Federal Civil Armed Forces.

On another summary submitted by the Ministry of Interior & Narcotics Control, the Committee approved an additional Rs. 841.56 million as TSG to support border control operations, internal security, and maintenance of law and order by the Federal Civil Armed Forces.

The ECC also deliberated upon a summary presented by the Ministry of National Food Security & Research regarding the winding up of PASSCO and the establishment of a Special Purpose Vehicle (SPV).

The Committee approved the formation of the SPV, allowing an initial paid-up capital of Rs. 1,000,000 and reducing the authorized capital in line with requirements for the structured winding down of the organization.

In addition, the Committee discussed a summary submitted by the Petroleum Division concerning the extension of licence periods and assignment of working interest for offshore oil and gas exploration blocks. The ECC approved the proposals aimed at incentivizing and facilitating greater participation of foreign companies in Pakistan’s petroleum exploration sector.

The meeting was attended by Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for Planning & Development Ahsan Iqbal, Special Assistant to the Prime Minister Haroon Akhtar Khan, along with federal secretaries and senior officials from the concerned ministries, divisions, and regulatory bodies.