ISLAMABAD (special crosspondent) – The Economic Coordination Committee (ECC) of the Cabinet convened today at the Finance Division under the chairmanship of the Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, to address critical economic and industrial policies. The session, marked by a focus on long-term fiscal stability, aligns with broader efforts to streamline national financial oversight similar to recent initiatives seen in the Finance Minister Aurangzeb Chairs Maiden Access to Finance Committee Meeting.

Export Promotion and Financial Incentives

The ECC evaluated a comprehensive summary presented by the Finance Division, ultimately approving three distinct Export Finance Subsidy Schemes designed to catalyze export growth. The approved measures include an expansion of the EXIM-administered Export Finance Scheme (E-EFS), the introduction of a new Long Term Export Growth Financing Facility (LTEGFF), and a performance-linked Rebate on Incremental Exports. These initiatives aim to provide low-rate, fixed financing options and bolster support for both export and import sectors, with a notable emphasis on integrating the SME sector into the formal economic landscape. The Committee mandated that a six-month performance evaluation report be submitted to monitor the effectiveness of these interventions.

Power Sector and Administrative Adjustments

In a move to resolve ongoing fiscal pressures within the energy sector, the Power Division received approval for a Technical Supplementary Grant (TSG) amounting to Rs. 4 billion. This allocation is designated to cover expenses arising from international arbitration proceedings initiated by independent power plant (IPP) developers and major utility shareholders. Furthermore, the ECC addressed long-standing administrative concerns by approving the adjustment of pensioners from closed Generation Companies (GENCOs) to their respective pension-disbursing Distribution Companies (DISCOs), ensuring a more efficient disbursement of retirement benefits.

Petroleum and Institutional Budget Approvals

The Petroleum Division secured approval for the declaration of the Pab reservoir in the Rehman-8 ST-3 well as a Tight Gas Reservoir, functioning under the established Tight Gas (Exploration & Production) Policy, 2011. Additionally, the Committee ratified tariff fixation for indigenous gas supplies directed toward RLNG-based power plants on the SNGPL network for the months of April, May, and June 2026. Separately, the Ministry of Overseas Pakistanis and Human Resource Development successfully presented the budget estimates for the Employees’ Old-Age Benefits Institution (EOBI) for the 2025-26 fiscal year, alongside revised estimates for 2024-25.

High-Level Participation

The meeting featured participation from key federal stakeholders, including Federal Minister for Planning, Development and Special Initiatives Mr. Ahsan Iqbal (attending virtually), Federal Minister for Commerce Mr. Jam Kamal Khan, Federal Minister for Education and Professional Training Dr. Khalid Maqbool Siddiqui, Federal Minister for Investment Mr. Qaiser Ahmed Sheikh (virtually), and Federal Minister for Petroleum Mr. Ali Pervaiz Malik. Also in attendance was Special Assistant to the Prime Minister on Industries and Production Mr. Haroon Akhtar Khan, supported by federal secretaries and senior officials from various regulatory bodies.