Rs 54b financial package on cards

ISLAMABAD - For providing relief to 4.5 million families, the government is working to incorporate Rs 54 billion financial package in the budget, sources disclosed here Monday.

The Prime Minister's recently constituted high level ministerial committee headed by Finance Minister, Syed Naveed Qamar, has come up with some proposals to help the poor in the country by providing them direct financial support through the national banks and post offices.

The package is likely to be presented before the next meeting of Economic Coordination Committee (ECC) of the Cabinet for final nod and after its approval it will be announced in the upcoming federal budget.

Under the package, the sources said, the government will provide Rs 1000 per month to each family and Rs 4.5 billion is required each month for execution of this project.

The committee was of the view that for the package the government needs Rs 54 billion per annum. However, the payment will be made on quarterly basis.

The committee comprises ministers for finance, industries, social welfare, special education, and officials of Utility Stores Corporation, organizations of Baitul Mall and NADRA. The Committee was assigned with the task to formulate a comprehensive package for the downtrodden segment of the society for providing them relief on urgent basis.

Baitul Mall and NADRA will sort out the eligible families. Baitul Mall has identified 2 million families entitled to the subsidy in cash. In addition to that of 2 million, NADRA has also selected 2.5 million families to get the financial help from the government directly, the sources privy to the consultations of the package revealed.

According to the NADRA selection procedure the needy families are senior citizens, unemployed, low-paid employees, widows, orphans and disabled. The public sector employees have not been included in this package.

The committee has devised a mechanism for providing payment directly to the identified families through national banks and post offices. Initially, four leading commercial banks have been selected including Habib Bank Limited (HBL), National Bank of Pakistan (NBP), United Bank Limited (UBL) and Muslim Commercial Bank (MSB).

Other than cash, some members of the committee also suggested to use other mechanisms like providing subsidized food items through USC Bachat Cards. However, majority of the members backed direct provisions of cash to the deserved families for easing burden them.