ECC recommends PIACL restructuring plan for onward submission before cabinet

ECC recommends PIACL restructuring plan for onward submission before cabinet

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Islamabad: The Cabinet Economic Coordinating Committee (ECC) on Wednesday recommended that the restructuring plan of Pakistan International Airlines (PIACL) be submitted to the Cabinet after verifying the corresponding tax amount.

The committee, the meeting of which was chaired by Federal Minister for Finance, Revenue, Industries and Production, Muhammad Hammad Azhar, however directed to place a cap on future debt which PIACL could take against its improved balance sheet, once restructuring plan was implemented.

The Aviation Division had submitted a summary before the ECC regarding the PIACL restructuring, according to press statement issued by the finance ministry.

The adviser to the prime minister on institutional reforms and austerity made a detailed presentation on human resource and operational restructuring of the PIACL.

He drew attention to the various options for restructuring and outlined measures to minimize losses and transform the PIACL into a financially viable entity.

It includes measures to reorganize human resources through the voluntary separation plan (VSS), hire aviation experts, modernize the fleet, rationalize routes, product development, and increase revenue.

At the same time, the electric power department provided a summary and provided GENCO with a one-off grant to pay the actuarial value of the pension to DISCO and the pension benefits of the remaining employees, as well as to pay the pension to the existing pension of the power plant Responsibilities of gold recipients. The decision was immediately closed by the Cabinet Committee on Energy (CCOE).

After soliciting detailed opinions from relevant stakeholders, the committee instructed the electric power department to further discuss and propose options for optimizing the cost of pension liabilities.

The Cabinet Committee also approved various technical supplementary grants, including 330 million rupees for the Ministry of Defense for aircraft maintenance; the Federal Ministry of Education and Professional Training implemented 2.382 billion rupees for the Prime Minister’s package to implement The TVET department’s “skills for all” strategy allocated Rs 1 billion to the finance department to refund the remaining funds of the Insaf Imdad Ehsas program.

It also approved Rs382.280 million for the Ministry of Energy for completion of development schemes of Sindh and Balochistan provinces under PSDP; Rs150 million for the Ministry of Housing and Works for funding civil works on different schemes in Balochistan, under PSDP; Rs30 million for the Board of Investment for different operational expenses and Rs280 million for the Ministry of Information Technology and Telecommunications for consultancy and implementation of Internet voting (I-voting).

Among others, the meeting was attended by Federal Minister for Planning, Development and Special Initiatives, Asad Umar, Federal Minister for Energy Omar, Ayub Khan, Federal Minister for Privatization Muhammad, Mian Soomro, Minister for National Food Security and Research, Syed Fakhar Imam, Advisor to the Prime Minister for Institutional Reforms and Austerity, Dr Ishrat Hussain, Advisor to the Prime Minister for Commerce, Abdul Razzak Dawood, SAPM on Power Tabish Gauhar, SAPM on Revenue, Dr Waqar Masood; federal secretaries; Governor State Bank of Pakistan Reza Baqir, BoI chairman and other senior officials.

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