Islamabad, August 20, 2025 – The Economic Coordination Committee (ECC) of the Cabinet, chaired by Finance and Revenue Minister Senator Muhammad Aurangzeb, approved a significant relief package worth Rs5.8 billion for those affected by the devastating monsoon rains.
The decision was taken during a high-level meeting where pressing economic and development matters were discussed, according to an official press release.
The approval of this relief package reflects the government’s commitment to extend immediate financial support to families who have suffered severe losses due to the monsoon havoc. Out of the approved sum, the ECC directed the Finance Division to release Rs4 billion without delay to mitigate the hardships faced by the affected population. This allocation, proposed by the National Disaster Management Authority (NDMA), is aimed at providing direct assistance for housing, food, and emergency rehabilitation of flood-hit communities.
In addition to the monsoon relief package, the ECC approved multiple other financial proposals. Among them was a reimbursement of Rs330.526 million to the Pakistan National Shipping Corporation (PNSC) in connection with the arrest of its ships in South Africa over claims linked to Pakistan Steel Mills Limited. The ECC instructed the Ministry of Industries & Production to fast-track arbitration proceedings and provide a progress report within three months.
The meeting also endorsed a term sheet developed by NEECA, SBP, and commercial banks for the Prime Minister’s Fan Replacement Programme. To initiate this energy efficiency drive, a Technical Supplementary Grant (TSG) of Rs2 billion was sanctioned. Likewise, the ECC approved Rs250 million for the National Security Division’s Strategic Policy Planning Cell, with further allocations to be phased out in consultation with the Finance Division.
Another major decision involved approving Rs3.5 billion through TSG for subsidies on RAAST QR Code-based person-to-merchant payments. This initiative, part of the government’s push for digital adoption, is expected to accelerate the growth of Pakistan’s digital economy. The State Bank of Pakistan has been directed to notify the scheme and present an evaluation report on its effectiveness before the fiscal year ends.
The ECC also gave a nod to the New Energy Vehicle Policy 2025-30, commending it as a progressive step toward the adoption of electric vehicles. The policy is expected to attract investment and place Pakistan on a sustainable energy trajectory in line with global practices.
Furthermore, the committee reviewed an upcoming risk coverage scheme for small farmers, especially in underserved regions such as Khyber Pakhtunkhwa, Balochistan, Azad Jammu & Kashmir, and Gilgit-Baltistan. The scheme aims to add more than 750,000 new borrowers to the formal credit system over the next three years, providing financial relief to farmers most vulnerable to climate shocks.
In closing, the ECC reiterated its resolve to continue designing targeted relief packages to safeguard vulnerable communities while ensuring sound economic management. The committee also directed the Ministry of Petroleum to tighten efficiency measures in the gas sector, reduce losses, and improve overall supply stability.