The Economic Coordination Committee (ECC) of the Cabinet met today at the Finance Division under the chairmanship of the Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb.
At the outset, the ECC was briefed by the Chief Economist, Ministry of Planning, Development and Special Initiatives, on recent trends in key economic indicators, particularly price movements of essential commodities and overall inflation dynamics. The Committee was informed that, following a period of volatility, recent data indicates gradual stabilization in prices supported by coordinated efforts at the federal, provincial, and district levels. Institutional mechanisms, particularly through the National Price Monitoring Committee, have strengthened market oversight and enabled timely interventions.
The presentation noted that inflationary pressures, while present, are showing signs of moderation, with emerging trends pointing toward improved price stability. Weekly monitoring data reflects that, after a temporary uptick, the pace of increase in prices of essential items has slowed, with recent weeks showing a declining trend in the Sensitive Price Index (SPI). A number of essential commodities, including tomatoes, onions, wheat flour, garlic, LPG etc have witnessed price reductions, while sugar has also shown a downward trend. At the same time, prices of items such as eggs, chicken, pulses, cooking oil, bread, and milk have recorded only marginal increases, indicating a broader easing in price pressures.
The ECC was further apprised that prices of key food and household items are gradually converging toward more stable levels, with some commodities returning close to pre-volatility benchmarks. This trend has been attributed to effective administrative measures, improved supply chain monitoring, and enhanced coordination between federal and provincial authorities. Regular data sharing and targeted interventions at the district level have strengthened the government’s ability to respond swiftly to localized disruptions and prevent undue price escalation.
Overall, the Committee noted with satisfaction that the combination of timely policy responses, strengthened monitoring mechanisms, and coordinated implementation has begun to yield positive outcomes, with clear indications of stabilization in the prices of essential items and improved market sentiment. The ECC emphasized the importance of sustaining these efforts to consolidate gains and ensure continued price stability in the coming months, in line with the government’s commitment to protecting consumers and maintaining macroeconomic balance.
Later, the ECC took up regular agenda items and approved a number of proposals, including Technical Supplementary Grants (TSGs) across ministries and divisions. These included Rs. 100 million in favour of the Cannabis Control & Regulatory Authority (CCRA) under the Cabinet Division for renovation and operationalization of its facilities; Rs. 311 million in favour of the Government of Balochistan under the Finance Division to support the Prime Minister–approved incentive package for PAS/PSP officers posted in the province; Rs. 372 million in favour of the National Accountability Bureau (NAB) under the Ministry of Law and Justice to support digital transformation and implementation of AI-based systems; and Rs. 30.00 million in favour of the Ministry of Inter Provincial Coordination for grant of financial rewards to the Pakistan National Hockey Team for qualifying for the FIH Hockey World Cup after eight years, as approved by the Prime Minister.
The ECC also discussed a summary submitted by the Ministry of Defence regarding allocation of Rs. 5.985 billion in favour of PIA Holding Company Limited (PIAHCL) for settlement of liabilities of Pakistan International Airlines Corporation Limited (PIACL). Out of the total amount, the Committee approved funding for reimbursement of medical and pension payments as well as for salary disbursements and asked for taking up the matter regarding payment to the National Insurance Company Limited (NICL) with the relevant revenue authority for adjustment, in line with the recommendations of auditors.
The ECC further approved a summary submitted by the Commerce Division for amendments to the Import Policy Order (IPO), 2022 in line with Pakistan’s commitments under International Labour Organization (ILO) conventions to introduce a prohibitory clause on import of goods produced through forced labour. In another summary submitted by the Commerce Division, the ECC approved amendments to the Import-Cum-Export Scheme of IPO, 2022 and Export Facilitation Scheme (EFS), 2021 to allow temporary import of used vehicles and auto parts for repair, refurbishment, and subsequent re-export under a pilot project, with directions for review after one year.
The ECC also considered a summary submitted by the National Food Security & Research Division seeking approval of recommendations regarding export of donkey meat and hides from Gwadar Donkey Slaughter House, and approved a proposal for disposal of existing inventory as per the applicable regulations and export protocols. The ECC further considered a summary submitted by the Power Division regarding the Public Service Obligation (PSO) Agreement with Ex-WAPDA Distribution Companies (XWDISCOs) and asked for referring the matter to the Cabinet Committee on State-Owned Enterprises (CCoSOEs), for it being the suitable forum.
The meeting was attended by Federal Minister for Commerce Mr. Jam Kamal Khan, Federal Minister for Power Sardar Awais Ahmed Khan Leghari, Federal Minister for National Food Security and Research Mr. Rana Tanveer Hussain (virtually), Federal Minister for Planning Development & Special Initiatives of Pakistan Prof. Ahsan Iqbal Chaudhary (virtually), Special Assistant to the Prime Minister on Industries and Production Mr. Haroon Akhtar Khan, along with federal secretaries and senior officials from the relevant ministries, divisions, and regulatory authorities.
