A high-level meeting was convened today at the Finance Division, bringing together Pakistan’s Federal Government and top provincial political leaders to address petroleum pricing and targeted subsidy strategies. The session was chaired by Senator Muhammad Aurangzeb, Federal Minister for Finance and Revenue.
Participants included Punjab Chief Minister Maryam Nawaz Sharif (joining virtually), Sindh Chief Minister Syed Murad Ali Shah (virtually), Balochistan Chief Minister Mir Sarfraz Ahmed Bugti, and Khyber Pakhtunkhwa Finance Minister Muzzammil Aslam (virtually). Chief Secretaries from all four provinces also attended remotely. Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for Economic Affairs Ahad Khan Cheema, Federal Minister for Information Technology and Telecommunication Shaza Fatima Khawaja, along with federal secretaries from Finance, Petroleum, and IT & Telecom, and senior officials from relevant ministries and regulatory bodies participated as well.
In his opening remarks, the Finance Minister welcomed attendees and noted that the meeting continued ongoing consultations initiated under the guidance of senior political leadership. The focus was on developing a coordinated and sustainable approach to petroleum pricing and subsidy reforms, emphasizing the need for collaborative decision-making and close coordination between the Federation and provinces.
The forum engaged in a detailed discussion on shifting from broad subsidy schemes to more targeted and efficient support mechanisms. Provincial representatives shared various proposals reflecting their administrative capacities, data resources, and socioeconomic contexts. The dialogue centered on ensuring support is directed toward vulnerable populations while preserving fiscal discipline and minimizing market disruptions.
Deliberations also explored potential subsidy delivery methods, including leveraging existing databases, digital platforms, and cash transfer systems. Transparency, accountability, and robust governance structures were underscored as critical elements for the design and implementation of future subsidy frameworks.
Notably, the meeting highlighted the importance of a coordinated national strategy that allows flexibility for provincial execution. It was agreed that a working framework outlining the key features of a potential targeted subsidy mechanism would be drafted and circulated among stakeholders for further feedback. Provinces will continue refining their proposals based on these discussions to achieve a consensus-driven and practical solution.
The Finance Minister expressed appreciation for the constructive participation of all attendees and reaffirmed the Government’s commitment to safeguarding vulnerable groups while maintaining economic stability.
