ECC approves Pakistan’s membership in BRICS' New Development Bank (NDB)

The NDB aims to mobilize resources to support development projects in growing economies
 

ECC grants approval to Pakistan’s membership in BRICS' New Development Bank (NDB)

The Economic Coordination Committee (ECC) has approved Pakistan’s membership in the New Development Bank (NDB), established by BRICS nations, greenlighting the purchase of 5,882 capital shares valued at $582 million, with $116 million as paid-in capital.

“The ECC endorsed Pakistan’s entry into the NDB, a multilateral development bank focused on financing infrastructure and sustainable development projects in emerging markets and developing countries (EMDCs),” the Finance Division stated.

Founded in 2015 by BRICS members—Brazil, Russia, India, China, and South Africa—the NDB aims to mobilize resources to support development projects in growing economies. BRICS is actively seeking to reshape the global financial order to reflect the interests of emerging nations.

 

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Pakistan had formally applied for BRICS membership in November last year. “As a developing nation committed to inclusive multilateralism, Pakistan believes it can contribute meaningfully to this group,” a Foreign Office spokesperson stated at the time.

Other Key Decisions

During the meeting, the ECC also approved the incorporation of an International Joint Trading Company in Singapore, a partnership between Pakistan State Oil (PSO) and the State Oil Company of Azerbaijan Republic (SOCAR). The Ministry of Petroleum was directed to ensure due diligence in investment approvals, equity injections, and the operational timeline.

Additionally, the ECC approved a proposal from the Ministry of Commerce to include new Pakistan Standards and Quality Control Authority (PSQCA) mandatory items in the Import Policy Order (IPO) 2022, integrating specific PVC and polymer-based products into regulatory compliance.

The committee also sanctioned the transfer of shares of power distribution companies (Discos) to the President of Pakistan, subject to confirmation that it would not have financial implications.

 

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Financial Approvals

To support ongoing development initiatives, the ECC approved several Technical Supplementary Grants (TSGs), including:

  • Rs19.15 billion under the Finance Division for 133 Public Sector Development Program (PSDP) projects previously managed by the defunct Pakistan Public Works Department (Pak-PWD). The funds will now be distributed among relevant ministries, divisions, and provincial governments.
  • Rs5.36 billion for the Ministry of Housing and Works to implement Sustainable Development Goals (SDGs) schemes—Rs4.25 billion allocated for Sindh and Rs1.11 billion for Khyber Pakhtunkhwa.
  • Rs1.914 billion for NADRA’s FATA TDP-ERP (KP-CCDSP) Project to transition 43 Citizen Facilitation Centers (CFCs) in Khyber Pakhtunkhwa. The Economic Affairs Division surrendered the funds, with the allocation recorded under the Interior Division, ensuring no additional financial burden on the government.
  • Rs500 million for the Ministry of National Health Services, Regulations & Coordination (NHSR&C) for procuring life-saving medicines and vaccines. The committee directed the ministry to establish a structural solution for future payments of related expenses.
  • Rs84 million for the President’s Secretariat (Public) to replace outdated official vehicles. The funds will be used to procure two Hino Coaster mini-buses and three Toyota Hiace vans under a phased replacement plan.

These approvals reflect the ECC’s commitment to financial and economic restructuring while ensuring the country’s participation in global development initiatives.

Source: The News

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