ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet on Wednesday approved supplementary grants for five major water projects and the armed forces, in a package dominated by Rs275 billion for water infrastructure and around Rs84 billion for defence.
The meeting, chaired by Finance Minister Muhammad Aurangzeb, approved the grants for financially constrained projects. Dawn reported the total at about Rs380 billion, while other outlets put it at roughly Rs360.24 billion.
The largest share, Rs275 billion, will go to five water sector projects under the Ministry of Water Resources: the Diamer-Bhasha Dam, the Mohmand Dam, the Greater Karachi Water Supply scheme (K-IV), the Chashma Right Bank Canal and the Kacchi Canal. The funds will be released gradually under Wapda’s payment plan.
The government had allocated about Rs103 billion for these projects in the 2026-27 budget, but Wapda said the money was not enough to keep work moving. Its chairman, Muhammad Saeed, told a parliamentary panel his requests for adequate funds had been approved by the prime minister and the finance ministry.
The defence allocation of around Rs84 billion came in three Defence Division summaries. The first covered Rs54 billion under three heads: more than Rs31 billion for the Special Security Divisions of the north and south, Rs11.88 billion for Pakistan Navy projects and Rs10 billion for internal security duties and allowances.
The second approved Rs1.094 billion for a luxury executive jet, a Lineage L-1000 aircraft, for the army fleet, and the third allocated Rs29.139 billion for Project Istaqlal. An official statement said the approvals met essential operational requirements and national security priorities.
The committee also allowed gas supply to continue to two Punjab-based fertiliser plants, Fatima and Agritech, until December 31 if gas is available. It approved Rs3.71 billion for Frontier Corps Balochistan (North) helicopter maintenance and moved Rs15.625 billion saved through austerity and fuel conservation into the Prime Minister’s Austerity Fund 2026.
Other decisions included restrictions on importing camera-enabled smart glasses, relaxed exploration and production rules for renewing 89 petroleum rights, and a Rs1 billion grant to bring gas to villages near gas production fields this fiscal year.
