ECC approves $10m to clear urgent liabilities of Roosevelt Hotel Corporation

ISLAMABAD: A meeting of the Economic Coordination Committee (ECC) of the Cabinet has decided to approve provision of US$10 million funds to Pakistan International Airlines Investment Limited (PIA-IL) to clear immediate financial liabilities of the Roosevelt Hotel Corporation (RHC) including payment of local taxes and other utilities.

The meeting, presided over by Finance Minister Shaukat Tarin, was requested by the PIA-IL to utilise US$10 million available with the National Bank of Pakistan to clear the immediate financial liabilities.

The Aviation Division presented a summary requesting for provision of funds to meet urgent liabilities of the RHC.

An official said that the meeting did not last long because of the cabinet meeting, as minister had to attend the cabinet meeting, as well.

Subsequent to deliberation, the ECC approved the summary with a direction to exercise due diligence in meeting immediate liabilities and submit a utilisation report, before the forum, regarding funding support by the government duly verified by the external auditors of the entity.

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The Committee also directed to engage a world-class consultant to meet the financial and operational challenges faced by the RHC.

The ECC approved a Technical Supplementary Grant (TSG) Rs215 million for the Election Commission of Pakistan (ECP) to conduct local government elections in Cantonment Boards thereby.

The meeting approved another TSG of Rs50.1 billion for extending rupee cover against financing provided by the Asian Development Bank (ADB) US$300 million for procurement of the Covid-19 vaccine and ancillary goods and services.

The meeting was attended by Federal Minister for Privatisation Muhammad Mian Soomro, Federal Minister for National Food Security and Research Syed Fakhar Imam, Federal Minister for Maritime Affairs Syed Ali Zaidi, Adviser to the Prime Minister on Commerce Abdul Razak Dawood, federal secretaries, chairman Federal Board of Revenue (FBR), chairman SECP, and other senior officers.

Governor State Bank of Pakistan (SBP) Dr Reza Baqir attended the meeting through a video link.

Copyright Business Recorder, 2021