The Economic Coordination Committee (ECC) of Pakistan convened recently at the Finance Division under the leadership of Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, to approve a comprehensive package of technical supplementary grants (TSGs). These grants are aimed at strengthening key sectors such as energy cooperation, rural gas supply, education, disaster management, and sustainable development efforts across the country.
One of the significant approvals included a TSG of Rs. 13.1 million allocated to the Petroleum Division. This funding is intended to cover Pakistan’s annual financial commitment to the International Energy Forum (IEF), an important platform that facilitates global dialogue on energy policies and cooperation. Maintaining active membership in the IEF is considered crucial for Pakistan to remain engaged in international energy discussions and to benefit from shared knowledge and strategic partnerships.
In addition, the ECC sanctioned a substantial sum of Rs. 3 billion for the expansion of gas supply schemes targeting villages situated within a five-kilometre radius of existing gas production fields. These projects will be executed through the two major gas distribution companies, Sui Southern Gas Company Limited (SSGCL) and Sui Northern Gas Pipelines Limited (SNGPL). The initiative aims to enhance energy access in rural areas, thereby supporting local development and improving living standards for communities historically underserved by energy infrastructure.
The committee also addressed pressing issues in the education sector by approving Rs. 200 million for the Ministry of Federal Education and Professional Training. These funds are earmarked for the payment of outstanding salaries to teachers employed at Basic Education Community Schools (BECS). The financial obligation stems from court rulings mandating the payment of salary differentials based on updated minimum wage notifications covering the period from August 2017 to June 2021. This move reflects the government’s commitment to ensuring fair compensation for educators who play a vital role in grassroots education.
Moreover, the ECC reviewed a request from the same ministry seeking exemption from relending terms for an additional USD 4 million allocated to the Higher Education Commission (HEC) under the restructured Higher Education Development in Pakistan (HEDP) Project. The committee was informed that the World Bank had reallocated these funds to the Investment Project Financing/Technical Assistance component, which increased HEC’s share beyond the previously exempted USD 77 million. This adjustment is expected to enhance the HEC’s capacity to implement higher education reforms and development programs effectively.
On the disaster management front, the ECC approved Rs. 3.63 billion for the National Disaster Management Authority (NDMA). These funds will be used to reimburse expenses incurred during the Monsoon Response operations of 2025 and to support overseas humanitarian assistance efforts. This allocation underscores the government’s proactive approach to disaster preparedness and response, ensuring timely support for affected populations both domestically and internationally.
Further financial support was granted in the form of Rs. 1.3 billion for development projects under the government’s Sustainable Development Goals Achievement Programme (SAP) for the fiscal year 2025–26. This funding is part of a broader strategy to align national development priorities with global sustainability targets, focusing on inclusive growth, environmental protection, and social welfare.
In a significant policy move, the ECC also approved a reform package accompanied by related financial measures aimed at improving the sustainability of Pakistan’s power sector. The initiative is designed to alleviate tariff pressures on consumers and facilitate comprehensive sectoral reforms, which are critical for stabilizing the energy market and attracting future investments.
Lastly, the committee sanctioned Rs. 1.47 billion for the Ministry of Information and Broadcasting to partially clear outstanding liabilities associated with federal public information and awareness campaigns. The ministry requested Rs. 2.231 billion in total, and the ECC has asked for the submission of the remaining balance in the upcoming quarter. This funding is vital for continuing efforts to keep the public informed on government initiatives and national issues through various media platforms.
Overall, the ECC’s recent decisions reflect a concerted effort by the government to address multiple challenges simultaneously, from energy access and education to disaster management and sustainable development. These approvals are expected to have a positive impact on Pakistan’s socio-economic landscape in the coming years.
