By Staff Reporter
ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet was warned of a looming inflation spike driven by flood-ravaged crops, supply chain disruptions, and potential cartel activity in the edible oil and ghee markets, threatening further food price hikes across the country.
Finance and Revenue Minister Muhammad Aurangzeb chaired the ECC meeting on Friday, joined by Power Minister Sardar Awais Ahmad Khan Leghari, Planning Minister Ahsan Iqbal, and senior officials from various ministries and regulatory bodies.
Aurangzeb underscored the need for “sustained monitoring, enhanced coordination, and timely interventions” to protect consumers’ purchasing power and stabilise prices.
Dr. Imtiaz Ahmad, chief economist at the Ministry of Planning, Development and Special Initiatives, presented data from the National Price Monitoring Committee (NPMC), highlighting a jump in inflation to 5.6% in September 2025, up from moderate levels, due to flood-related damage to farmland and livestock.
The Sensitive Price Index also climbed through October, per Pakistan Bureau of Statistics (PBS) data. While prices for chicken, rice, and LPG dipped, staples like sugar, beef, cooking oil, and ghee surged.
Ahmad outlined NPMC recommendations, including analysing global price impacts, boosting federal-provincial coordination to address supply gaps, and extending agricultural credit to farmers in flood-hit areas. The Competition Commission of Pakistan was directed to probe potential cartelization in the edible oil and ghee sectors.
Ahmad also flagged preparations for a Ramzan price stabilization plan and urged provinces to adopt the PBS Decision Support System for better market oversight. The ECC instructed provincial governments to ramp up market surveillance, enhance real-time data reporting, and crack down on profiteering. It also called for tighter collaboration between the PBS and provincial agencies to improve price data accuracy, with provinces encouraged to leverage PBS data systems for greater transparency.
Aurangzeb praised the analysis and pressed for swift implementation of measures to curb inflation and stabilize markets.
Separately, the ECC postponed a proposed ban on importing three-year-old used cars for overseas Pakistanis under the Personal Baggage, Transfer of Residence, and Gift Schemes. The Commerce Division was directed to consult further with stakeholders and revise its proposal under the Import Policy Order, 2022.
The committee approved updates to the Pre-Shipment Inspection framework, allowing accredited agencies to conduct inspections, and extended the existing import-export policy for precious metals and jewelry with improved transparency and automation.
The ECC also greenlit several funding requests: Rs 2.5 billion for the Pakistan Maritime Science and Technology Park under the Pakistan Navy; AED 45 million in rupee cover for the Frontier Works Organization to clear an overdraft for UAE construction projects; Rs 455.984 million for the Election Commission of Pakistan to fund local government elections in FY 2025-26; Rs 112.118 million for electricity meters at the Pakistan Mint Residential Colony; and Rs 21.5 million for helicopter maintenance parts for Pakistan Rangers (Punjab).
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