How will the PM’s subsidy package provide relief?

Prime Minister Imran Khan, while presenting the largest welfare program in the history of the country to make Pakistan a welfare state, announced a special relief package of Rs 120 billion for 20 million families. While announcing the package he said that lower sections of the society will be given a 30 percent subsidy on ghee, flour, and pulses in view of inflation.

Prime Minister’s package

* The needy ones will be given a 30 percent subsidy on ghee, flour, and pulses.

* About four million deserving families will get interest-free loans to build houses.

* Health insurance cards will be provided to one member of each family in the country.

* Health justice card facilities will be provided in Punjab.

* Under the scholarship program, Rs. 47 billion will be provided for 6 million scholarships Rs. 1400 billion is being allocated under the Successful Youth Program.

Situation of inflation

Inflation in the country has reached the highest level of the current financial year in the month of October. According to the statistics agency, the rate of inflation in October 2021 was 9.2 percent, in September it was 9 percent. 

With the announcement of the PM’s package, ghee and cooking oil of different brands have been made more expensive at utility stores. According to the notification, coking oil has been increased to Rs 65 per liter while the price of ghee has gone up to Rs 53 per kg.

Prices of flour, ghee, edible oil, meat, and vegetables are out of reach of the people. Railways have increased fares due to an increase in petroleum prices so that the prices of all commodities have gone up which is many times more than last many years.

Who will get relief?

Dr. Sania Nishtar, Special Assistant to the Prime Minister, said that 20 million families would benefit from the Prime Minister’s Ehsas Ration Program which would be selected through Ehsas Survey. In fact, 130 million people and 53% of the country’s population will benefit. A discount of Rs.1000 per family will be given on the purchase of flour, lentils, and ghee/cooking oil every month.

Relief procedures

1) Ehsaas Program for Online Registration of Beneficiaries A registration portal will be opened next week in which the process of registration of beneficiaries will be started.

2) Registered beneficiaries will be able to buy ghee or edible oil, pulses, and flour from designated grocery stores or utility stores for Rs. 1000 per month.

3) The beneficiaries will be registered on the portal and NADRA will verify their identity card through mobile number.

4) Beneficiaries will have to go through two stages of verification. The first will be verified by ID card and the second will send OTP code to the mobile number given by the beneficiary and will provide the items after verification of grocery store or utility store.

5) Real-time data will be used for decision-making.

6) The use of digital platforms in the program will help track the use of subsidies by each beneficiary at the product and geographical level.

7) Bank accounts of grocery store owners participating in the program will be opened.

8) A monthly subsidy of Rs.1000 / – per month will be provided to each of the 20 million households for the purchase of ghee and cooking oil.

9) 30% subsidy per unit will be given on the purchase of flour, ghee, pulses.

10) Beneficiaries of both types will benefit, one who is already registered with BISP and the other deserving persons whose poverty score is less than 39 and whose monthly income is Rs. 31,500.