The ECC also approves supplementary technical grants of nearly Rs 950 million for the Federal Civil Armed Forces.
Amid heightened security threats and a rise in terrorist attacks, the government approved Rs 50.9 billion ($180 million) for a series of defense initiatives aimed at strengthening national security.
The allocations were approved during a meeting of the Economic Coordination Committee (CEC) held at the Finance Division, chaired by Finance Minister Muhammad Aurangzeb. The committee reviewed multiple briefs on defence, internal security, food security and oil sector reforms.
According to the ministry, the ECC approved a Technical Supplementary Grant (TSG) of Rs 100.3 million to the Ministry of Home Affairs and Narcotics Control for the repair and maintenance of defense equipment used by the Federal Civil Armed Forces. Officials said the funds will ensure the operational readiness of teams deployed in security and law enforcement operations.
The committee also approved an additional Rs 841.56 crore as TSG for the Federal Civil Armed Forces to support border control operations, internal security tasks and maintenance of law and order. The funding is expected to bolster border infrastructure and strengthen national security measures. The ECC approved a separate summary of the Defense Division, approving Rs 50 billion as TSG for a range of approved projects of the Defense Services.
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The committee also reviewed a summary by the Ministry of National Food Security and Research on the liquidation of Pakistan Agricultural Warehousing and Services Corporation. Approved the establishment of a special purpose vehicle (SPV) with an initial paid-up capital of Rs 1 crore to manage the structured closure of the organisation. The SPV will oversee procurement reforms, supply chain restructuring and efficiency improvements in the agricultural sector.
Separately, the Petroleum Division tabled proposals to extend license periods and allocate working interests for offshore oil and gas exploration blocks. The ECC approved the measures, which aim to encourage greater participation by foreign companies in Pakistan’s oil exploration sector by offering extended terms and more flexible investment agreements.
The meeting was attended by Petroleum Minister Ali Pervaiz Malik, Planning Minister Ahsan Iqbal, Special Assistant to Prime Minister Haroon Akhtar Khan as well as federal secretaries and senior officials of relevant ministries, divisions and regulators. The decisions come as the government takes steps to bolster security preparedness and encourage foreign investment in critical sectors during a period of heightened national concern.
