Budget for MPs’ schemes increased to Rs90b

In complete disregard to the looming economic meltdown, the government on Wednesday approved the increase in discretionary spending of parliamentarians to Rs90 billion as it allocated Rs844 million for the renovation of judges’ residences.

The decisions were taken by the Economic Coordination Committee (ECC) of the cabinet, headed by Finance Minister Ishaq Dar, who is also responsible to save the country from sovereign default.

A supplementary grant of Rs844.4 million was approved in favour of the Ministry of Housing and Works for the repair and maintenance of Supreme Court of Pakistan building, judges’ residences, rest houses and sub-offices in various cities, stated the Ministry of Finance.

It added that the ECC also approved Rs3 billion for the Cabinet Division for development expenditure under the SDG Achievement Programme (SAP), a term being used for the parliamentarians’ schemes.

These steps have been taken despite that Pakistan is struggling to cope with the conditions set by the International Monetary Fund (IMF), including ensuring a primary fiscal balance, for reviving the derailed loan programme.

Although Rs3.8 billion may appear small in comparison to the overall budget, it shows the rulers’ lack of empathy for the people’s situation.

ECC approved the additional Rs3 billion despite the recommendation by the National Austerity Committee to stop funding for the parliamentarians’ schemes.

This indicates that the committee is just another debating club.

ECC decided to give Rs3 billion to parliamentarians by slashing the budget of an educational institute and the Innovation Support Project, which speaks volumes about the priorities of the ruling alliance.

The government decided to slash the Rs1.4 billion budget of Pakistan Institute of Development Economics (PIDE), Rs800 million allocation for the construction of Planning House and Rs800 million from the Innovative Support Project.

The Rs3 billion will be spent on the recommendations of the recently elected new members of National Assembly, who were backed by the Pakistan Democratic Movement (PDM).

The PDM government had allocated Rs70 billion for the parliamentarians’ schemes, which was increased a few months ago to Rs87 billion, giving each MNA Rs500 million.

With the fresh increase, the budget of parliamentarians’ schemes has shot up to Rs90 billion.

ECC granted an extension in the Adam X-1 development and production lease for a period of five years with effect from February 2022 in order to increase oil and gas production and reduce energy imports.

It allowed one-year Extended Well Testing (EWT) over Umair SE-1 discovery in Guddu.

It was informed that an exploration licence was granted to the Guddu block in 1999, operated by Oil and Gas Development Company Limited (OGDCL).

Based on the results of seismic data, OGDCL has made a new discovery in the Guddu exploration licence area from the Habib Rahi Limestone and Pirkoh Limestone by drilling a well namely Umair SE-1.

ECC also approved an increase in the price of IVF-M 1501U Vial medicine and fixed the rate at Rs2,684 per pack.

In addition to that, it allowed Trading Corporation of Pakistan to carry out pre-shipment inspection of imported wheat at loading ports through the already pre-qualified six international pre-shipment inspection agencies to ensure the quality of wheat as per approved specifications.

It was informed that a number of wheat consignments were due to reach Pakistan in the coming months.

ECC approved the provision of Rs8.4 billion subsidy in favour of the Benazir Income Support Programme (BISP) for providing cash subsidy to the farmers of flood-hit areas instead of the earlier provision of wheat seeds as per recommendations of the committee.

The meeting directed BISP to initiate cash disbursement through its partner bank as per the eligibility criteria and the amount should be disbursed to the eligible persons identified by the government of Sindh.

Besides, approval was given to the two summaries of the Ministry of Interior for the grant of financial aid of Rs10 million to the legal heirs of those who died during the recent suicide blast at I-10 Markaz, Islamabad and Rs20 million for the legal heirs of those who died during the recent long march of a political party.

Published in The Express Tribune, January 26^th, 2023.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.