ECC unveils major export incentive package to boost industry

July 27, 2026 (MLN): The Economic Coordination Committee (ECC) of the Cabinet on Monday approved a comprehensive package of export promotion measures, including subsidized financing facilities and a performance-based rebate scheme, aimed at strengthening Pakistan’s export sector and improving the participation of small and medium-sized enterprises (SMEs).

The meeting, chaired by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb at the Finance Division, endorsed three key export support initiatives proposed by the Finance Division.

These include an enhanced Export Finance Scheme (E-EFS) to be administered by EXIM Bank, the launch of a Long-Term Export Growth Financing Facility (LTEGFF), and a performance-linked rebate on incremental exports.

The package is designed to provide exporters with fixed low-cost financing, facilitate export and import activities, and expand access to financing for SMEs.

The ECC directed the relevant authorities to submit a performance review after six months to evaluate the effectiveness of the newly approved schemes.

Separately, the committee approved a Technical Supplementary Grant (TSG) of Rs4 billion for the Power Division to cover expenses related to multiple international arbitration cases involving independent power producers (IPPs) and major utility shareholders.

The ECC also approved a proposal to transfer pension liabilities of retired employees from closed Generation Companies (GENCOs) to their respective pension-paying Distribution Companies (DISCOs), ensuring uninterrupted payment of retirement benefits.

In the energy sector, the committee declared the Pab reservoir in the Rehman-8 ST-3 well a Tight Gas Reservoir under the Tight Gas (Exploration & Production) Policy, 2011, following a proposal from the Petroleum Division.

The committee further endorsed the budget estimates of the Employees’ Old-Age Benefits Institution (EOBI) for FY2025-26, along with revised budget estimates for FY2024-25, as proposed by the Ministry of Overseas Pakistanis and Human Resource Development.

Additionally, the ECC approved the tariff determination for indigenous gas supplied to RLNG-based power plants connected to the SNGPL network for the period covering April to June 2026.

The meeting was attended by Federal Minister for Commerce Jam Kamal Khan, Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for Education and Professional Training Dr. Khalid Maqbool Siddiqui, Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan, senior government officials, and representatives of relevant ministries and regulatory bodies.

Federal Minister for Planning Ahsan Iqbal and Federal Minister for Investment Qaiser Ahmed Sheikh participated virtually.

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