ISLAMABAD: An important session of federal cabinet with Prime Minister Syed Yousuf Raza Gilani chairing, will be held today to decide over various issues facing country including overall political situation.

The cabinet is expected to approve inter-government matters including five ministries initially devolved to provinces and the financial affairs of these ministries. The cabinet will also review implementation on18th Amendment.

Freshly inducted in the federal cabinet, Khuda Bux Rajar and State Minister Istiqbal Khan are also likely to attend the meeting.

Official sources said that the prime minister called the cabinet meeting keeping in view the developments on the political front.

The cabinet was also expected to consider some measures to be implemented during the nine-month extension allowed by the International Monetary Fund (IMF) in its $11.3 billion stand-by arrangement, they added.

The sources said the cabinet was likely to approve a Rs 25 billion bailout package for the Pakistan Steel Mills to keep it functional. The state-owned entity was faced with severe financial stress and desperately needed federal intervention, they maintained.

The cabinet would also approve measures for implementation of the inter-government framework signed during the recent visit of the Chinese prime minister to help Chinese investors. According to the government announcements, the Chinese public and private sector would make $35 billion investment in Pakistan during five years, the sources stated.

It would also be expected to approve South Asian Association for Regional Cooptation (SAARC) agreement on trade in services. Under the agreement, all SAARC member countries are expected to open their eight service sectors for investors of the member countries, including Pakistan and India. The agreement would cover all four aspects, which include cross-border supply of services like telecommunication, consumption of medical facilities abroad, commercial presence in the form of opening bank branches and movement of personnel, the sources added. –MONITORING DESK