ECC urges EOBI to tackle Rs2tr pension liabilities

ISLAMABAD: The Economic Coordination Committee (ECC) has directed the Employee Old Age Institution (EOBI) to address the ballooning pension-related liabilities exceeding Rs 2 trillion.

During Thursday's ECC meeting, a summary presented by the Ministry of Overseas Pakistanis and Human Resource Development sought approval for EOBI's budget. The committee commended EOBI's progress, noting a substantial increase of approximately Rs. 100 billion in contribution collections. 

Stressing the adherence to the budget calendar, the ECC mandated the formulation of a comprehensive long-term strategy to tackle the Rs. 2 trillion pension liabilities, subsequently approving the organization's proposed budget.

Chaired by Federal Minister for Finance, Revenue, and Economic Affairs, Dr. Shamshad Akhtar, the ECC meeting included key dignitaries such as Minister of Planning, Development, and Special Initiatives Mr. Sami Saeed, Minister for Energy Mr. Muhammad Ali, Minister for Communications, Maritimes Affairs, and Railways Mr. Shahid Ashraf Tarar, Minister for Law and Justice Mr. Ahmed Irfan Aslam, Advisor to PM on Finance Dr. Waqar Masood, Chairman FBR Malik Amjed Zubair Tiwana, Chairperson EOBI Ms. Naheed Durrani, Federal Secretaries, and senior officials from relevant ministries.

The discussions also centered on the Pakistan Bureau of Statistics' detailed presentation about inflation dynamics and recent trends in essential commodity prices. In response, the ECC directed the National Price Monitoring Committee to coordinate consistently with provincial governments to stabilize prices and combat hoarding practices.

The ECC also discussed the approval of the TAPI (Turkmenistan, Afghanistan, Pakistan and India gas pipelines) project as a Qualified Investment Incentive Package under the Foreign Investment (Promotion and Protection) Act, 2022 (FIPPA). Acknowledging its significance, the ECC supported its prompt initiation while emphasizing the need for further scrutiny on legal aspects, incentives, and concessions under the FIPPA Act.

The meeting addressed the Power Division's presentation on resolving capacity deduction issues related to coal-based projects and approving a side agreement with Port Qasim Electric Power Company (PQEPCL). Following deliberations, the ECC approved the proposed settlement with PQEPCL as presented by the Power Division.

Simultaneously, the Cabinet Committee on State-Owned Enterprises (SOEs) endorsed the publication of a consolidated report covering the performance of State-Owned Enterprises for FY 2019-2020, 2020-2021 & 2021-2022.

The ECC meeting underscored the government's dedication to economic stability, prudent decision-making, and transparent governance, emphasizing collaboration and strategic planning to address crucial national concerns.