Haj fares raised by 10 percent despite ministry's opposition: Cabinet decides to turn HBFC into corporate entity

The Cabinet has approved 10 percent increase in Haj fares despite stiff resistance by the Religious Affairs Ministry. The meeting, held here on Wednesday with Prime Minister Shaukat Aziz in the chair, also approved corporatisation of the House Building Finance Corporation (HBFC), increasing its house loaning liquidity 10 times.
Briefing newsmen, Information and Broadcasting Minister Muhammad Ali Durrani said the proposal of increasing 23 percent Haj fare by Pakistan International Airlines was considered in view of rise in international oil prices.
The Cabinet, he said, had decided that PIA, Defence Ministry and Religious Affairs Ministry would ensure that the increase should not be more than 10 percent of last year's Haj fares.
About corporatisation of HBFC, the decision has been taken to make it an efficient financial institution for extending house building loans to the lower and middle income groups of the society. Durrani said corporatisation of HBFC would enable it to increase its house loaning liquidity 10 times, and added that now it would be offering loans up to Rs 20 to Rs 25 billion.
To protect the consumer and encourage competition, the Cabinet approved a draft law to institute a framework to promote competition and consumer protection. It would prohibit abuse of market dominance, deceptive marketing practices and mergers that tend to reduce competition.
"We are all-out to encourage competition, safeguarding the interest of the consumers and ensure consumers' protection. This policy must be followed in all corporate decisions," the Prime Minister was quoted as saying in the meeting.
Durrani said the approval of a new corporate structure for Gwadar port had also been given, and added that its Board of Directors would now consist of 15 members, out of which four would be from Balochistan.
Referring to the loss of lives and damage to property caused by unprecedented cyclone and rainstorms in Sindh and Balochistan, the government announced special grant of Rs 200 million for Balochistan, along with relief operations.
The Prime Minister informed the meeting that Sindh and Balochistan, including Karachi, would continue to receive help and assistance from the federal government for giving relief to the affected people.
The Information Minister told newsmen that Babar Khan Ghauri represented Muttahida Qaumi Movement and conveyed the party's concerns. When asked, he said that the government has scheduled a meeting on Saturday to discuss the situation in Karachi vis-à-vis restoration of electricity.
He, however, did not reply whether the government would accept Sindh government's request to waive electricity dues for the month of June. Meteorological Department DG Qamaruz Zaman has been directed to hold daily press briefing for creating greater awareness among the people in case of such an eventuality in future.
Responding to another question, Durrani said that Prime Minister Shaukat Aziz had a telephonic conversation with the leader of opposition in the National Assembly, Fazlur Rehman, on Tuesday to discuss the issue of code of conduct for the forthcoming elections.
He said that a core group representing all coalition partners would soon be formed to hold discussions with the opposition parties to frame an agreed code of conduct for general elections. About the electoral roll controversy, the minister said that every eligible voter, who has either computerised identity card, or the old one, would be able to exercise the right of vote.
The Cabinet also approved proposals regarding Preferential Trading Arrangement (PTA) leading to Free Trade Agreement (FTA) between Pakistan and Bosnia Herzegovina; agreement on Defence Cooperation between Pakistan and Oman; ratification of agreement for cooperation in the sphere of support of Small and Private Entreprenurship (SPE); ratification of Frequency Coordination Agreements with the Satellite Networks of Administration of Turkey, France, United Arab Emirates (UAE), Greece and Malaysia for Paksaed-l Satellite Network; ratification of the International Convention against doping in Sports adopted unanimously by Unesco in its 33rd Session on October 21, 2005.