ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet on Wednesday approved disbursement of Rs75 billion out of the prime minister’s relief package of Rs200bn as targeted payments to low-income groups, especially labourers and daily wage earners who have been severely affected by the coronavirus-related lockdown in the country.

A meeting of the ECC, presided over by Adviser to the Prime Minister on Finance and Revenue Dr Abdul Hafeez Shaikh, also approved about Rs13bn for settlement of outstanding liabilities of about 850 litigants of the Pakistan Steel Mills (PSM).

The ECC decided that disbursement of Rs12,000 per person would be made using the Ehsaas disbursement mechanism under the “Mazdoor Ka Ehsaas Programme”. For this purpose, a fourth category, in addition to the existing three categories under “Ehsaas Kifalat” would be created and standard filters/checks of the Ehsaas programme would be applied for identification of beneficiaries.

The meeting was informed that after application of the usual filters and checks, up to six million low-income people were expected to benefit under the fourth category, in addition to the 12m labourers already targeted through three categories of Ehsaas Kifalat. As such, the total number of people receiving financial support through the Benazir Income Support Programme (BISP) will reach 18m.

Okays Rs13bn for settlement of outstanding liabilities of PSM litigants

“Mazdoor Ka Ehsaas Programme” is aimed at extending financial support to low-income labourers and daily wage earners such as loaders, cleaning staff, contract employees, piece rate workers, self-employed street vendors, construction workers, painters, welders, mechanics, carpenters, domestic help and drivers.

The ECC asked the Ministry of Industries and Production and the Poverty Alleviation and Social Sector Development Division to jointly work out a comprehensive mechanism and modalities to ensure a transparent and efficient disbursement of the support package among the deserving people.

The ECC also approved release of a government loan of Rs1.3bn during the current financial year and Rs3.85bn per annum over the next three years for settlement of outstanding liabilities of the litigants in a case involving the PSM.

On a proposal by the Ministry of Commerce, the ECC approved notification of the Export Policy Order, 2020 and Import Policy Order, 2020 in a consolidated form as per the Law Division’s recommendations for the convenience of the business community.

The meeting approved in principle a proposal by the Ministry of National Health Services for provision of Rs150 million as grant in aid/seed money for the Islamabad Healthcare Regulatory Authority. The ECC asked the secretaries of finance and health to jointly work out modalities for arrangement of the fund.

The ECC considered a matter raised by the Ministry of Maritime Affairs regarding arrest of PNSC ships in South Africa on account of alleged claims of M/s Coniston against the PSM and asked the finance secretary to engage with the Pakistan National Shipping Corporation and PSM and seek opinion from the Law Division, if necessary, to resolve the issue having ended up in litigation.

On a proposal by the Ministry of Climate Change, the ECC approved exemption from the government’s re-lending policy in respect of a $188m World Bank concessional loan for the Pakistan Hydro-Met and Ecosystem Restoration Services Project.

The ECC approved a technical supplementary grant of Rs606m for 19 projects to be implemented by the Balochistan government in FY2019-20 and Rs7m for purchase of spare parts for maintenance of a helicopter by the Frontier Corps Balochistan (North).

The meeting approved the budget proposal of the Employees Old-Age Benefits Institution for the year 2019-20 and the revised budget estimate for 2018-19.

On a proposal by the Ministry of Industries and Production seeking a supplementary grant of Rs288m for payment of salaries to the employees of Pakistan Machine Tool Factory, the ECC asked the Finance Division and the Industries and Production Division to sit together and resolve the issue.

Published in Dawn, April 23rd, 2020