ECC approves Rs275 billion for water projects and defence grants
The Economic Coordination Committee approved Rs275 billion for water sector projects and further grants for defence. It met on 4 November under Finance Minister Muhammad Aurangzeb.
- ECC approved a Rs275 billion grant for water projects under the Ministry of Water Resources.
- Defence grants were also approved, including funds for Project Istaqlal.
- Rs15.625 billion in savings will go to the Prime Minister's Austerity Fund 2026.
- The committee considered 11 agenda items.
The Economic Coordination Committee (ECC) of the Cabinet approved a Technical Supplementary Grant of Rs275 billion for water sector projects under the Ministry of Water Resources. The meeting took place at the Finance Division in Islamabad on Wednesday, 4 November 2026, and was chaired by Finance Minister Senator Muhammad Aurangzeb.
According to a Finance Division press release cited by ProPakistani, the allocation will support key water infrastructure and advance ongoing projects. The Finance Division did not name the individual projects or give a project-wise breakdown.
The committee also approved three Technical Supplementary Grants for the Defence Division, according to Minute Mirror. These included Rs54 billion for ongoing Defence Services projects, Rs1.094 billion for the induction of a Lineage L-1000 aircraft and Rs29.139 billion for Project Istaqlal. Minute Mirror gave the combined defence amount as Rs84.233 billion, while its headline and summary cited Rs83.139 billion. The Nation reported that the water and defence grants together came to Rs329 billion.
The ECC further approved Rs3.71 million for helicopter maintenance of Frontier Corps Balochistan (North), and the transfer of Rs15.625 billion in savings from austerity and fuel conservation measures to the Prime Minister's Austerity Fund 2026.
Changes were approved to the tiers and bank rate of the Prime Minister's Youth Business and Agriculture Loan Scheme. The committee also approved restrictions on the import of camera-enabled smart glasses and recommended that provincial governments and Islamabad Capital Territory introduce workplace rules controlling their use.
On energy, the ECC approved continued gas supply to the urea plants FatimaFert and Agritech on the SNGPL network until 31 December 2026, subject to availability of energy supply. It relaxed certain Exploration and Production Rules to allow extension and renewal of 89 petroleum rights, subject to prescribed conditions, and approved Rs1 billion for gasification of villages within five kilometres of gas production fields in financial year 2026-27.
The committee considered 11 agenda items from different ministries and divisions. Power Minister Sardar Awais Ahmad Khan Leghari, Petroleum Minister Ali Pervaiz Malik and Minister of State for Finance Bilal Azhar Kiyani attended.
Why it matters for Pakistan
The Rs275 billion grant is meant to advance ongoing water infrastructure projects, which bear on public services and development. The gas supply extension for two urea plants and the Rs1 billion village gasification funding touch fertiliser production and communities near gas fields. Changes to the Prime Minister's Youth Business and Agriculture Loan Scheme affect those seeking loans under it. The smart glasses import restrictions concern importers and workplaces.
