Pakistan approves Rs1.79 billion for Reko Diq project security

The decision aligns with the Security Services Framework Agreement between the Reko Diq Mining Company and the Government of Pakistan

ISLAMABAD: In a move to ensure uninterrupted progress on the multibillion-dollar Reko Diq gold and copper project, the government has approved Rs1.79 billion for security measures amid growing concerns over the law and order situation in Balochistan.

The Economic Coordination Committee (ECC) sanctioned the funds after a thorough review of security requirements for the project. The decision aligns with the Security Services Framework Agreement (SSFA) between the Reko Diq Mining Company (RDMC) and the Government of Pakistan, as well as an MoU signed between RDMC and the Frontier Corps Balochistan (South).

The Ministry of Interior and Narcotics Control had originally submitted a request for a Technical Supplementary Grant (TSC) of Rs1.792 billion through the Finance Division. However, the Finance Division initially approved only Rs286.987 million, leading to further deliberations.

Following an ECC directive for reconciliation of actual security needs, a high-level meeting on February 6, 2025, led by the Interior Secretary, resulted in consensus among stakeholders.

As per the agreement, RDMC will provide financial support under the term “support allowance”, which will not be used for the salaries or allowances of Frontier Corps personnel but will cover specific operational security costs. The approved funds will be managed through a dedicated cost centre, “Reko Diq Project Frontier Corps Balochistan (South)”, ensuring that the existing Frontier Corps budget remains unaffected.

The ECC ultimately approved the full TSC of Rs1.792 billion, sourced from RDMC’s payment for security expenses. The move is expected to strengthen the security framework for foreign personnel working on the project while ensuring smooth operations.

The funds have been allocated under Demand No. 062 for the Combined Civil Armed Forces, supporting the Frontier Corps Balochistan (South) in its operational and security-related responsibilities.

Monitoring Desk
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