Prime Minister Shehbaz Sharif has constituted a National Coordination and Management Council to deal with the economic and security situation arising from the Middle East tensions.
The Minister for Economic Affairs, Ahad Khan Cheema and Lt General Zafar Iqbal will jointly chair the executive committee of the council.
The NCMC will be a central platform, comprising representation from all federal and provincial stakeholders, to facilitate informed policy decision-making and ensure effective implementation at all levels in response to the economic challenges arising from the Middle East conflict.
The council has been given the mandate for the management of internal security, including possible internal displacement and refugees, in case of any untoward situation. It has also been tasked with narrative management and the control of disinformation.
The council is responsible for the management and operations of financial, economic, and trade-related policy measures.
In a maiden meeting of its executive committee held yesterday, the participants decided that NCMC would continue working in the wake of a lingering crisis-like situation even after the ceasefire.
The committee allowed export of surplus furnace oil after fully taking into account the local energy production requirements. At least two refineries raised the issue of limited storage capacity, requiring the export of the surplus fuel.
As per the insiders, the civil-military authorities had earlier evaluated the options to secure energy supplies in case the United States executed its threat to attack the energy infrastructure, and Iran retaliated with attacks on Middle East countries.
Pakistan looked into the options to import fuels from Russia, Nigeria and some other countries. In addition to the cost, the major issue was the voyage time of cargoes, which could have jumped to 30 to 35 days for a tanker due to any closure of the supply routes.
According to media reports, various committees were formed during the past month to help deal with issues arising in their respective domains. Now, the council would monitor macro-economic and commodity indicators and make sure that the foreign exchange reserves remain stable and there is no sporadic movement in the value of the rupee against the US currency.
The oil and commodity management would be ensured through digitalised national dashboards, and decisions would be taken to address any bottlenecks in supplies.
Pakistan’s foreign exchange reserves remained largely stable during wartime, but the country is now set to repay its $4.8 billion debt this month.
Foreign remittances, which remain the key source of reserves’ stability, decreased 5% in March despite the Eid factor, due to uncertainties in the Middle East.
