ECC Approved Rs 3.9 Billion For Ehsaas Kafalat Programme
On Monday, The Economic Coordination Committee (ECC) approved Rs 3.9 billion for Ehsaas Kafalt Programme and provided grants to poor people.
The ECC meeting presided over by Finance Minister Shaukat Tarin approved an allowance for cash transfers to needy people, which would increase their compensation by Rs166 per month, while also approving around Rs3.9 billion in extra grants to different bodies for the current budget year 2021-22.
The meeting also approved the Poverty Alleviation and Social Safety Division’s request for grant Policy for Cash Transfer, allowing the Benazir Income Support Programme (BISP) to implement an institutional mechanism for updating regular cash transfer benefits Ehsaas Kafalat programme beneficiaries regularly.
Due to indexation, the beneficiaries will earn an extra Rs166 each month. A committee was also formed at the conference to assess the procedure in the future. The Secretary of Finance Division would chair the committee. It would include the Additional Finance Secretary and the secretaries of the Poverty Alleviation and Social Safety Division and the Economic Advisor Finance Division and one co-opted member for independent technical advice.
The committee’s mandate would be to review and suggest to the federal cabinet for approval adjustments to the regular cash benefits of the BISP, i.e. the Ehsaas Kafalat Program, for inflation reasons within three years after the last boost. Any update or change of cash transfers under BISP Programs other than the Ehsaas Kafalat Program would be considered and approved by the committee.
With effect from January 1, 2022, the ECC approved an increase in the Ehsaas Kafalat monthly stipend of Rs166 per beneficiary per month for the current round.
The committee also authorized an additional funding demand of Rs75 million for capital expenditure on civil works in the current budget year 2021-22 for three separate development plans to the Ministry of Housing and Works. In addition, the Ministry of Housing and Works received a supplemental technical grant of Rs43 million.