The Economic Coordination Committee (ECC) has approved the release of Rs20 billion to the Green Corporate Initiative (Pvt.) Limited within the current fiscal year, as reported by BR, quoting sources in the Finance Division.
On November 10, 2023, the Defence Division briefed the ECC regarding an agreement between the Government of Punjab and Green Corporate Initiative (Private) Limited. The agreement entails the provincial government providing an interest-free loan of Rs100 billion to the Green Corporate Initiative during the ongoing fiscal year.
Earlier, on October 24, 2023, the Government of Punjab had requested the State Bank of Pakistan (SBP) to debit Punjab Government’s Account No-1 (non-food) with Rs20 billion and credit the Federal Government’s Account No-1 (non-food) as a loan through a technical supplementary grant (TSG). This amount was intended for onward disbursement to Green Corporate Initiative for the Green Pakistan Initiative.
The Finance Division agreed to transfer the Rs20 billion received in the Federal Consolidated Fund Account No.1 (Non-Food) from the Government of Punjab to the Defence Division as a Technical Supplementary Grant.
During the discussions, it was noted that agriculture falls under provincial jurisdiction, and the agreement between the Government of Punjab and Green Corporate Initiative pertains to agriculture.
As a result, it was suggested that this case be approved as a one-time matter, emphasizing that in the future, such issues should be handled by the respective provinces without involving the federal government.
After deliberation on the Defence Division’s proposal for the release of funds to Green Corporate Initiative for the Green Pakistan Initiative in the fiscal year 2023-24, the ECC approved the proposal with the condition that similar matters in the future should be addressed at the provincial level without federal government involvement.