ECC approves loan scheme to provide E-bikes, E-rickshaws on 0% markup

The Economic Coordination Committee (ECC) approved on Thursday a loan scheme to provide E-Bikes/E-Rickshaws on zero percent markup and repayment in three years, read a statement released by the Ministry of Finance.

Federal Minister for Finance Ishaq Dar presided over the meeting of the ECC of the Cabinet. During the meeting, the Ministry of Industries and Production submitted a summary regarding financing facility for electric bikes (E-bikes) and E-Rickshaws.

As per the statement, the ministry presented details on the viability, and demand of electric bikes and incentive structure for potential users to make electric bikes affordable.

“In order to create quick and sustainable demand for E-Bikes/Rickshaws in the country, the ECC after discussion approved Prime Minister’s Youth Business & Agriculture Loan Scheme (PMYB&ALS) model for E-Bikes/E-Rickshaws.

“Under the scheme, a clean loan of up to Rs0.5 million will be given under Tier-I (T1) of PMYB&ALS at 0% markup rate for repayment in three years. This facility will be available for up to 15,000 E-Bikes/Rickshaws in the current financial year,” read the statement.

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The Ministry of Finance said the modalities of the scheme will be worked out by the Ministry of Industries and Production in coordination with PMYB&ALS.

Ministry of National Food Security and Research tabled a summary on the price of sugar during the month of Ramadan and briefed the meeting on the outcome of the Sugar Advisory Board’s meeting with Pakistan Sugar Mills Association (PSMA) regarding the retail price of sugar.

The ECC endorsed the decisions of the meeting, that PSMA Punjab Zone has agreed to provide 20,000 metric tons of sugar at a retail price of Rs95 per kg during the month of Ramadan (till Eid-ul-Fitr) for sale to the general public through the Government of Punjab at the district level.

The ECC further directed to make arrangements with other provincial PSMAs on a similar pattern for the provision of sugar in other provinces/areas.

Moreover, the ECC considered and approved the summary of the Ministry of Commerce regarding the declaration of Customs Station Angoor Adda as an authorized export land route to Afghanistan and through Afghanistan to Central Asian Republics.

The ECC also considered a summary of the Aviation Ministry and approved an increase in GoP guarantee related to USD-denominated loans of PIACL to the tune of Rs15,607,394,711/- by enhancing the existing guarantee limit of Rs247.630 billion to Rs263.237 billion.

Moreover, the ECC approved technical supplementary grants/supplementary grants of Rs261 million in favour of the Ministry of Housing and Works for the execution of the development scheme i.e. construction of the railway underpass Jahanian, District Khanewal.

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It also approved a grant of Rs142.5 million in favour of the Ministry of National Health Services, Regulations and Coordination, committed by the SAARC Development Fund for a standard package for strengthening preventive and curative activities for mental health and the condition of Covid-19 research activities.

Moreover, Rs250 million were approved for the repair and maintenance of the Supreme Court of Pakistan building, judges’ residences, rest houses and sub-offices in various cities. Whereas, Rs22 million were also granted in favour of the Ministry of Foreign Affairs for payment of liabilities of electricity.