ECC says relief package through USC to continue
- Declares warehousing and logistic sector as an industry
ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet has approved continuation of Prime Minister’s Relief Package for fiscal year 2024-25 besides declaring warehousing and logistic sector as an industry.
Sources in the Finance Ministry said the meeting chaired by Finance Minister Muhammad Aurangzeb in a summary was informed that Rs 60 billion has been allocated for the fiscal year 2024-25 under Prime Minister’s Relief Package and Ramazan Relief Package 2024.
The meeting was informed that the allocation included Rs50 billion for Prime Minister’s Relief Package and Rs10 billion for Ramazan Relief Package.
They added that the USC is providing five essential items on subsidised rates, since January 2020, under Prime Minister’s Relief Package (PMRP) and during fiscal year 2023-24, federal cabinet had granted approval of Rs35 billion till 30th June 2024 as targeted subsidy model which has been implemented by the USC.
PM Shehbaz visits utility stores to review Ramazan package
As the amount of subsidy is to be utilised to provide relief to poor segments of the society, mapped through Benazir Income Support Program (BISP) data, five essential items have been provisioned for targeted population registered with B1SP on subsidised rates.
The Ministry of Industries sources said the existing subsidy (per household) of Rs2,734 per month for fiscal year 2023-24,whereas, is now being proposed after revising Rs3,650per month for 2024-25 with an increase of Rs916 per month or 25.09 percent in overall subsidy per household.
The ministry requested for direction to the Finance Division for release the funds on a monthly basis of the Prime Minister’s Relief Package 2024-25 for 10 months from 1stAugust 2024 to 30th June 2025 (excluding the month of Ramazan as well as approval of prime minister relief package on existing targeted subsidy (PMT-40) with proposed revised price and subsidy and continuation of Prime Minister’s Relief Package beyond 30thJune 2024 till 31stJuly2024 as per subsidy utilisation or till approval of proposed package on existing targeted subsidy model and prices.
The ECC was also requested for approval of turnover tax at the rate of 1.25 percent on subsidy to the FBR from the budgeted amount of subsidy for fiscal year 2024-25.
Copyright Business Recorder, 2024
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