The Economic Coordination Committee (ECC) of the Cabinet, Wednesday, approved summary submitted by Finance Division regarding Prime Minister’s Package of Incentives for Exporters.
The package will have an estimated financial impact of Rs. 180 billion, and is applicable to the period from January 16, 2017, till June 30, 2018. The incentives for FY 2017-18 would only be available to those exporters who would achieve an increase of 10% in their exports as compared to their exports for FY 2016-17.ECC met here with Finance Minister Ishaq Dar in the chair and in pursuance of the decision of the Council of Common Interests (CCI), approved the proposal of Ministry of Water & Power for issuance of Letter of Comfort / GoP guarantee by Finance Division to WAPDA for settlement of Net Hydel Profit claims of Government of Punjab.
The Finance Division informed the ECC about the latest key economic indicators, including reviews of product’s prices, inflation, commodity stock position, energy figures, foreign exchange reserves, foreign investment, trade performance and tax revenues. ECC was informed that headline inflation measured by CPI increased by 3.7% in December 2016 compared to 3.8% in November 2016. On average, during July-December FY 2017, CPI is recorded at 3.88%. ECC was apprised that the reported stock of wheat as on January 03, 2017, is 7.5 million tons showing that sufficient quantity of local wheat is available for daily releases to mills by Provincial Food Departments and PASSCO.
The Finance Division informed the ECC that the stock of various POL products averaged 34 days on January 10, 2017. It was also informed that production in the Large Scale Manufacturing sector stood at 2% in July-October FY 2017.