The Economic Coordination Committee (ECC) of Pakistan has approved several important economic measures, including a subsidy scheme to promote electric vehicles, a major grant for remittance reimbursements, and conditional financial support for Quaid-i-Azam University.
Chaired by Federal Minister for Finance and Revenue Muhammad Aurangzeb, the ECC meeting granted approval for a comprehensive subsidy program aimed at encouraging the use of electric bikes and rickshaws/loaders across Pakistan. Under this newly announced initiative, 116,000 electric bikes and 3,170 electric rickshaws/loaders will be introduced in two phases. The first phase, expected to be launched soon by the Prime Minister, envisions the rollout of 40,000 electric bikes and 1,000 electric rickshaws/loaders. The scheme also includes the distribution of free electric bikes to top students in government colleges. The government has allocated Rs 9 billion in the upcoming fiscal year to support this initiative.
In addition, the ECC reviewed remittance incentive scheme reimbursements and approved a technical supplementary grant of Rs 30 billion to settle outstanding claims from the last fiscal year under the Telegraphic Transfer Charges Incentive Scheme. The Finance Division was tasked with working alongside the State Bank of Pakistan to establish payment procedures for this grant. The Committee also instructed a comprehensive review of the Pakistan Remittance Initiative, emphasizing evaluation of its effectiveness, costs, and potential alternatives, with final recommendations to be submitted by mid-September.
Further, the ECC gave preliminary approval for a Rs 2 billion bailout package for Quaid-i-Azam University. This financial assistance is contingent on the university, in cooperation with the Higher Education Commission, developing and presenting a detailed self-sustainability plan. The roadmap must focus on attaining long-term financial stability and reducing reliance on future government bailouts.
The ECC meeting was attended by several federal ministers and senior officials, highlighting the government’s continued focus on economic reforms and strengthening key sectors.
