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Govt freezes Rs96b PIA liabilities to CAA

Govt freezes Rs96b PIA liabilities to CAA

ISLAMABAD:  The ECC was presented a troubled financial position of the PIA as usual. It was reported that the national flag carrier was in default of Rs96bn to CAA. Informed sources said the government had already exceeded its guarantee limits for the current year and hence decided to freeze these liabilities along with late payment penalty until June 30.

A financial rescue package for PIA would be prepared in the meantime so as to enable the federal government, if required, to inject budgetary support or issue fresh guarantees for loans rollovers with the start of the next fiscal year.

The ECC also approved a series of supplementary grants totaling Rs17.052bn. This included a demand of the Cabinet Division to release technical supplementary grant of Rs14.844bn for current fiscal year. The ECC also approved another supplementary grant of Rs1.795bn on account for Temporarily Dislocated Persons from North Waziristan in the wake of Operation Zarb-i-Azb.

Informed sources said the ECC also approved a request of the Ministry of Interior to transfer $3million worth of technical supplementary grant to the ministry of defence for the maintenance of PM’s Cessna aircraft.

In order to meet the expenses of Capital Administration and Development Division (CADD), the ECC approved technical supplementary grant of Rs202.637m for and Rs12.409m for Pakistan Chairs Abroad.

Similarly, the committee also approved supplementary grant of Rs156.327m for Ministry of Health Services, Regulation and Coordination and Rs41.671m for Ministry of Overseas Pakistanis and Human Resource Development.

The committee was also briefed by Ministry of Science and Technology on the status of operationalisation of Pakistan Hilal Authority. The committee directed that Prime Minister’s Adviser on Institutional Reforms and Austerity Dr Ishrat Hussain should review the matter of placement of the Hilal Authority under the most relevant ministry.

The committee also accorded approval to the proposal of Ministry of National Food Security and Research to extend the export period of surplus wheat from Pakistan Agri­cultural Storage and Services Corporation (Passco) stocks for two months. The ECC had earlier allowed 500,000 tonnes of wheat export out of Passco stocks latest by April 30. The deadline has now stands extended to June 30. The committee also approved the proposal of Ministry of Industries and Production to allocate 66mmcfd additional Mari Deep Gas to Private Power Infrastruc­ture Board for power generation purposes.