Islamabad:
On Wednesday, the federal office gave the green light to the largest financial restructuring system in Pakistan aimed at eliminating paralyzing circular debt in the energy sector.
Prime Minister Shehbaz Sharif chaired the Prime Minister’s federal cabinet and approved a series of key decisions ranging from energy sector reforms to diplomatic and institutional recognitions, a press release from the Prime Minister said.
The debt plan, designed to restore the financial stability of the energy industry without criticizing the national budget, aims to eliminate 1,275 billion circular debt rupees over the next six years.
The approved program includes the refinancing of 683 billion rupees due by the power portfolio company and the compensation for long -standing contributor of independent electricity producers (IPP). The Prime Minister described the decision “not historic in economic stability and the confidence of investors in the energy sector of Pakistan”.
“This reflects our commitment to sustainable institutional reforms and the reduction in budgetary pressure, opening the way to a more stable and prosperous energy future,” he said during the session.
The cabinet also appreciated the assessment of the Minister of Finance Muhammad Aurangzeb and its economic team for having presented a public budget for the next financial year, recognizing their efforts in the stabilization of the national economy.
On the diplomatic front, Prime Minister Shehbaz Sharif praised the chief of staff of the army, Marshal Syed Asim Munnir, for his speech to the Pakistani diaspora during his recent American visit.
The Prime Minister congratulated Marshal’s firm commitment to defend the borders and interests of Pakistan, calling it a powerful representation of national resolution.
In recognition of the exemplary provisions of the HAJJ this year, the Prime Minister paid tribute to the Minister of Religious Affairs Sardar Yousaf, quoting the well -managed pilgrimage as a reflection of the government’s commitment to the excellence of the public service.
In other key decisions, the cabinet has approved the appointment of Kamal Uddin Tipu as president of the Commission for the Protection of Journalists and Media Professionals on the recommendation of the Ministry of Rights Human.
The firm also granted an exemption under article 21 of the order on the regulators of public procurement, 2002, to the National Power Parks Management Company Limited (NPPMCL) for purchases linked to the acquisition of the Rousch power plant.
In addition, the cabinet ratified the decisions made at the meeting of the cabinet’s legislative affairs on May 21, 2025.
