The Economic Coordination Committee (ECC) convened on Friday to approve a comprehensive package of multi-billion rupee technical supplementary grants. These funds cover defence acquisitions, state enterprise bailouts, energy sector resolutions, and critical counter-terrorism security initiatives.
Chaired by Finance Minister Muhammad Aurangzeb, the high-level meeting efficiently addressed a backlog of proposals submitted by various ministries, moving swiftly to authorize significant allocations.
In a significant development on the defence front, the ECC allocated Rs10.15 billion (approximately $36.5 million) to support the Pakistan Navy’s Hangor project. This ongoing initiative aims to enhance the country’s maritime defence capabilities through advanced submarine acquisitions.
To alleviate circular debt challenges in the energy sector, the committee extended a Rs100 billion ($360 million) syndicated running finance facility to Pakistan State Oil (PSO), a state-owned enterprise. Furthermore, the ECC approved an amended settlement framework with Cnergyico under the Pakistan Oil Refining Policy. This agreement resolves outstanding disputes related to late payment surcharges and sanitation concerns, thereby facilitating overdue refinery upgrades and encouraging foreign investment.
Operations at Engro Vopak Terminal Limited (EVTL) were also mandated to continue uninterrupted via a dedicated regulatory mechanism, ensuring stability in energy infrastructure.
On the security front, the ECC endorsed seven detailed proposals from the Ministry of Interior, reflecting Islamabad’s intensified focus on security infrastructure enhancement. The Islamabad Safe City Project will receive Rs1.88 billion to expand its surveillance network, while Rs413.9 million was approved for security management at the Reqo Diq copper-gold mining project in Balochistan.
Additional security allocations include Rs800 million for the Pakistan Coast Guards to acquire fast patrol boats, Rs150 million for the National Counter Terrorism Authority (NACTA), and Rs528 million for border management and operational costs of the Pakistan Land Ports Authority. A compensation package of Rs241 million was finalized for families of victims and martyrs of the recent Islamabad suicide bombing.
Moreover, Rs692.9 million was sanctioned to clear outstanding security expenses related to the Islamabad Peace Dialogue.
The ECC also approved substantial provincial development funds, including Rs4.37 billion to address urgent budget shortfalls for the Gilgit-Baltistan government. An additional Rs183.5 million was allocated for installing mobile cell towers in the remote Shigar district of GB.
Under the Sustainable Development Goals Achievement Programme (SAP), the committee sanctioned Rs7.26 billion for federally-administered community projects, alongside Rs2.84 billion earmarked for infrastructure development in Khyber Pakhtunkhwa. Urban development initiatives in Karachi and Hyderabad received Rs8.75 billion to support ongoing projects.
In the corporate and administrative sectors, the ECC approved a Rs733 million bailout for Pakistan Television (PTV) to ensure payment of employee salaries for June. Industrial modernization efforts were supported with Rs1.30 billion allocated for Phase-II-A of the Pakistan Mint’s upgrade program. The Intellectual Property Organisation (IPO-Pakistan) was granted Rs914.7 million for the fiscal year 2025-26.
Additional approvals included a Rs119.9 million grant covering salaries and allowances for parliamentary secretaries, and Rs30 million for the expansion and renovation of the grand mosque within the Parliament House complex. Honorariums were also sanctioned for personnel attached to the Ministry of Commerce, Ministry of Law, and the Accountant General Pakistan Revenues (AGPR) in recognition of their extra duties during the fiscal year.
