• Pakistan Central Cotton Committee recommended for ‘rightsizing’
• In meeting with Saudi envoy, Aurangzeb touts ‘homegrown economic agenda’

ISLAMABAD: The Economic Coordi­nation Committee of the federal cabinet on Wednesday amended the gas supply priority list by placing gas for industrial processes in the first priority, alongside the domestic and commercial sectors.

The meeting, chaired by Federal Finance and Revenue Minister Muhammad Aurangzeb, also decided that gas use for industries using captive power was relegated to a lower priority alongside the Compressed Natural Gas (CNG) sector. He said that the decision would facilitate the industry using gas in its processes. The Ministry of Energy has submitted the summary to the ECC for a change in the gas supply priority order.

The ECC also considered a proposal by the Ministry of National Food Security for the provision of Rs238.42 million for clearing the arrears of wheat subsidy schemes from 2015-16. The ECC took into account the recommendations of the Senate Standing Committee on Finance and Revenue, and directed the ministry to arrange the funds through the available budgetary resources and settle the long pending claims.

On a proposal for a loan of Rs656 million to the Pakistan Central Cotton Committee (PCCC) to enable the organisation to pay salaries and pensions to its employees, the ECC decided that this entity should be considered for winding-up. It was directed that a case be submitted to the Cabinet Committee for Rightsizing of the Federal Government.

The ECC also reviewed a summary from the Ministry of Communications concerning the “Kalkatak-Chitral 48 km (Section-III) Road Project (N-45) - Procurement of Civil Works” and authorized the ministry of communications and the National Highway Authority to proceed with the procurement of civil works as per Public Procurement Rule-5.

All federal ministers who are members of the ECC along with relevant federal secretaries attended the meeting.

Meeting with Saudi Ambassador

Separately, Mr Aurangzeb reaffirmed Pakistan’s commitment to a homegrown economic agenda centered on comprehensive institutional reforms across key sectors of the economy.

The minister made these remarks during a meeting with Nawaf Bin Said Al-Malki, Ambassador of the Kingdom of Saudi Arabia, who called on him at the Finance Division on Thursday.

Pakistan is seeking rollover of loans from Saudi Arab along with two other countries — UAE and China as a prior conditionality of the IMF.

The minister emphasised that structural reforms are pivotal for ensuring sustainable economic growth and stability, forming a cornerstone of the government’s policy agenda.

He expressed deep appreciation for Saudi Arabia’s consistent economic support to Pakistan, while highlighting the renewed interest shown by Saudi investors in pursuing joint ventures and business collaborations with Pakistan’s private sector.

Mr Aurangzeb also recalled his productive meetings with Mohammad Al-Jadaan, Finance Minister of Saudi Arabia, and Sultan Abdulrahman Al-Marshad, CEO of the Saudi Fund for Development (SFD), during his visit to Washington in April this year.

He further noted the significant outcomes of the high-level business delegation’s visit from Saudi Arabia to Pakistan in May, aimed at exploring investment opportunities, expanding bilateral cooperation, and scaling up partnerships across diverse sectors.

Nawaf Bin Said Al-Malki commended the government of Pakistan’s efforts in implementing structural and institutional reforms and reiterated the Kingdom’s unwavering commitment to contributing to Pakistan’s economic growth.

Mr Nawaf also acknowledged the immense potential for investment and business opportunities between the two countries.

He indicated that a Saudi business delegation is expected to visit Pakistan in the coming months to further explore areas for joint ventures and collaborative investments.

Published in Dawn, September 12th, 2024