The Economic Coordination Committee (ECC) of the cabinet on Thursday approved multiple Technical Supplementary Grants (TSGs) worth multibillion rupees, including Rs11 billion for the closure of the Utility Stores Corporation (USC). The ECC also granted its assent for Rs17.873 billion for the procurement of non-sensitive materials for Local Government Elections in Punjab, Khyber Pakhtunkhwa, ICT and Cantonment Boards across Pakistan.
The ECC approved a TSG of Rs300 million for the Capital Development Authority (CDA) to meet essential repair and maintenance expenditure relating to the PM Office and PM's Staff Colony during FY 2026-27. On a summary submitted by the Revenue Division, the forum approved an amendment to SRO 693(I)/2006 concerning the levy of Additional Customs Duty on the import of tyres being manufactured locally.
The measure is aimed at promoting domestic manufacturing. The ECC met at the Finance Division under the chairmanship of Federal Minister for Finance and Revenue Muhammad Aurangzeb.
The committee considered 17 agenda items submitted by various ministries and divisions, covering access to finance, development initiatives, infrastructure, institutional reforms and sectoral measures. The forum approved a summary submitted by the Finance Division regarding a financing framework developed by the State Bank of Pakistan (SBP) to facilitate the inclusion of Agency Financial Institutions (AFIs) under the government's existing Risk Coverage Schemes for small enterprises and small farmers through wholesale and agency arrangements.
The framework aims to broaden access to finance by leveraging the outreach of eligible microfinance and non-banking financial institutions. The committee also approved a Finance Division summary for an addendum to the Second Supplemental Trust Deed of the Credit Guarantee Trust Fund (CGTF), expanding its scope to facilitate more effective utilisation of the existing credit guarantee facility to support affordable housing finance.
The ECC approved a TSG of Rs2 billion for the Small and Medium Enterprises Development Authority (Smeda), on a summary submitted by the Industries and Production Division, to facilitate implementation of Smeda's approved business plan as per the vision of the prime minister.
The committee further approved a TSG of Rs11.329 billion, on a summary submitted by the Industries and Production Division, to meet the immediate funding requirements of the USC and facilitate completion of its closure process. On a summary submitted by the Privatisation Division, the ECC approved a TSG of Rs8 billion for the Public Private Partnership Authority (P3A).
The allocation will support the development and implementation of infrastructure projects through public-private partnerships. The ECC also approved a TSG of Rs10 billion for the Ministry of Railways to provide budgetary cover for the Thar Coal Rail Connectivity Project, facilitating the utilisation of indigenous Thar coal for power generation and other industrial sectors.
On a summary submitted by the Election Commission of Pakistan (ECP), the committee approved a TSG of Rs596.18 million for the reallocation and revalidation of surrendered funds for local government elections in the ICT, local government by-elections in Sindh and Balochistan, and delimitation activities in Punjab.