ISLAMABAD: The Economic Coordination Committee (ECC) of the federal cabinet on Thursday approved the establishment of a pension fund without making any allocations.
The retirement age of public servants did not increase under the new policy, as all powerful quarters had sternly opposed it. The ECC also granted its assent for a Defined Contributory pension for new entrants.
Federal Minister for Finance & Revenue Senator Muhammad Aurangzeb chaired the meeting of the ECC of the Cabinet at the Finance Division.
The Cabinet Committee approved the following Technical Supplementary Grants (TSGs) to various Ministries/Divisions: Rs607.03 million to the Ministry of Aviation for Employee Related Expenses; Rs10.477 million to the Communications Division for Ad hoc Relief Allowance expenses; Rs803.025 million to the Defence Division for the PSDP Project “Establishment of National Aerospace Science & Technology Park (NASTP) in Project Aviation City Pakistan (ACP); Rs8.625 billion to the Military Accountant General and AGPR for pension payments; Rs12.1 billion to the Finance Division to pay off the Government of Sindh’s liability due to the abolition of Octroi and Zila Tax; Rs293 million to the Finance Division for the Department of Auditor General of Pakistan to make mandatory payments; Rs1.086 billion to the Finance Division for settling ZTBL claims under the Prime Minister’s fiscal package for agriculture in the wake of Covid-19; Rs1.3 billion to the Ministry of Foreign Affairs for missions abroad; Rs366.263 million to the Ministry of Information & Broadcasting to meet contractual obligations and complete the Primary Data Center of the Project; Rs96.480 million to the Ministry of Information & Broadcasting for a publicity campaign on Defence Day; Rs2.5 million to the Ministry of Interior as an award for outstanding performance by Arshad Nadeem, Pakistan Olympic Athlete; Rs29.131 million to the Ministry of Interior for payment to NTS for the Screening Test of Recruitment in ICT Police; Rs130 million to the Ministry of Interior for the payment of POL charges and clearance of liabilities for the ICT Police; Rs112.417 million to the Ministry of Law & Justice for the regularisation of pay and allowances of Law offices; Rs428.806 million to the Ministry of Maritime Affairs for development projects in Gwadar; Rs49.781 million to the National Disaster Management Authority (NDMA) to fulfill obligatory payments; Rs7.987 billion to the Planning Commission for the clearance of liabilities for the 7th Population & Housing Census; Rs4,228.429 million to the Federal Board of Revenue (FBR) for clearing liabilities of foreign-funded projects of FBR; and Rs444.271 million to the Ministry of Interior for the Federal Investigation Agency (FIA) to meet employee-related expenses.
The Cabinet Committee also approved the summary from the Finance Division to utilize the funds of Rs355.640 million established by the Government of Pakistan Policy Committee and allocate them to the National Disaster Management Authority for flood relief assistance.
Another summary from the Finance Division to launch the “Risk Coverage Scheme for SMEs” was also approved, with the direction to monitor and evaluate the scheme on a quarterly basis.
The ECC also gave principal approval to the Finance Division for the establishment of a Pension Fund. The committee approved the proposal of a Defined Contributory Scheme for new entrants effective from 1st July 2024, and to military personnel from 1st July 2025.
The Economic Coordination Committee further approved the summary from the Ministry of Information Technology & Telecommunication to return Rs11.13 billion to the Universal Service Fund (USF) to meet the budget shortfall.
The ECC approved the request from the Ministry of Railways for additional funds and granted Rs2 billion to clear pending liabilities.
