— The cash will be distributed in affected districts with poverty score of up to 32
ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet has directed BISP to disburse PKR 25,000 per household in calamity affected districts. The meeting of the ECC was held under the chair of Finance minister Miftah Ismail on Tuesday.
According to the details, the Ministry of Poverty alleviation and social safety submitted a summary for emergency cash assistance for affectees of the ongoing flash floods. It called attention to the fact that the unprecedented rains and flash floods across the country have resulted in a great loss of lives and properties.
In view of the above, the ECC approved the summary and directed BISP to disburse a total of PKR 25,000 per household in calamity affected districts with a poverty score of up to 32. In this regard, the Finance Division will consult BISP to discuss the financial implications and required modalities. Furthermore, the federal government will ask the provinces to provide a share in the relief for the affectees.
Meanwhile, the Ministry of Economic Affairs presented a summary on G-20 Debt Service Suspension Initiative (DSSI). This debt relief, termed as DSSI-I, for IDA eligible countries to mitigate the socio-economic impact of Covid-19 was announced in April 2020. At present, six more debt rescheduling agreements have been negotiated and finalised for DSSI-III with Italy, Japan and Spain. In this regard, a summary was presented before the committee by the secretary EAD on behalf of the government.
After discussion, the ECC agreed to rescheduling the agreement proposed by EAD on account of deferred payments due to Covid-19.
The Ministry of National Food, Security and Research presented a summary on increasing national wheat strategic reserves. The ministry informed the meeting that in the wake of recent rainfall and flood damages ensuing financial issues of farmers for the next wheat sowing season, rising local wheat prices as well as hoarding and smuggling, the aforementioned quantity is insufficient. In order to ensure wheat availability across the border and to stabilize local wheat prices, it was proposed that the quantum of wheat strategic reserves may be retained at the level of 2 MMT.
The ECC approved the revision of an earlier decision to import 3 MMT of milling wheat and allowed for maintenance of strategic reserves of wheat at the suggested level, including a quantity of 0.080 MMT on account of the SAARC food bank.
Furthermore, TCP was directed to arrange a further quantity of 0.8 MMT through G2G or open tender. It was added that import of 0.8 MMT wheat is allowed to the private sector with provision that subsidy shall not be provided for such imports of wheat.
Furthermore, the National FATF Coordination Committee on AML/CFT presented a summary for approval for arrangements/ expenditure related to on-site visit of FATF/APG assessors’ team. It was shared that FATF team of 15 members will visit from 29 Aug to 2 Sep. 2022 in order to verify the stance of Pakistan as reported in cyclic reports. In this regard, a summary for allocation of TSG of Rs 7 million was presented. ECC approved this summary.
The Ministry of Communication submitted a summary for Extension of time to complete the business plan of NHA from June 30, 2022 to Sep. 30, 2022. It was shared that NHA has already shared information with ADB consultants for preparation of the business plan of NHA. However additional time is required to complete the same. This summary was approved by ECC after thorough deliberation with the provision that no further extension would be given. In case a further extension is sought, the Finance Division will start deducting interest on Cash Development Loans (CDL).
