ISLAMABAD: The Economic Coordination Committee has approved Rs1200 billion economic relief package Monday announced by Prime Minister Imran Khan last week amid coronavirus pandemic.
According to details, Advisor to PM on Finance Dr Abdul Hafeez Shaikh chaired the ECC meeting. During the meeting, the package was given final shape in order to present in front of federal cabinet for approval tomorrow.
In this regard, a notification was issued by the committee which stated that Rs100 billion emergency funds have been set up to deal with the impact of pandemic, while the committee has also approved the technical supplementary grant of Rs25 billion for National Disaster Management Authority (NDMA) for fighting coronavirus.
The notification further stated that it was also agreed to provide Rs12,000 to 20.2 million people on a monthly basis for four months via the Ehsaas Kifalat Programme.
Committee said that these funds will be disbursed through finger-printing by two private banks, adding that Rs72 billion will be provided through the Benazir Income Support Programme.
The notification also stated that Rs200 billion have been allocated for daily wage earners and labourers, adding that Federal Bureau of Revenue has been tasked to issue Rs75bn in tax refunds.
Referring to the taxes, the notification stated that the 2 percent tax on import of pulses has been abolished and the withholding tax rate on spices, dry milk and salt supplies has been set at 1.5 percent for utility stores.
Withholding tax on sugar, pulses and wheat suppliers has been kept at 1.5%. The council approved Rs30 billion for textile exporters as payment of duty drawbacks. Rs6bn grant was approved for the Pakistan Railways.