Latest news with #PlanningMinistry
Reuters
13 hours ago
- Business
- Reuters
Brazil eases 2025 spending curbs needed to comply with fiscal rules
BRASILIA, July 22 (Reuters) - Brazil's government on Tuesday eased the total spending curbs previously deemed necessary to comply with fiscal rules, after raising its net revenue forecast by 27.1 billion reais ($4.87 billion) this year, according to its latest revenue and expenditure report. The Finance and Planning ministries fully eliminated the spending freeze announced in May to meet this year's fiscal target, which had totaled 20.7 billion reais. The boost was driven mainly by an upward revision of 17.9 billion reais in projected revenue from natural resource exploration. The report also slightly raised to 10.7 billion reais, from 10.6 billion previously, the spending block needed to comply with the cap on expenditure growth under the new fiscal framework approved during the administration of leftist President Luiz Inacio Lula da Silva in 2023. As a result, the total amount of spending curbs - which had stood at 31.3 billion reais when including the now-reversed freeze - fell to 10.7 billion reais. The higher estimate for public revenue follows congressional approval of a measure that clears the way for an extra oil auction involving uncontracted areas in the offshore pre-salt region, a move first reported by Reuters in April. This year's fiscal target is a primary deficit of zero, with a tolerance band of 0.25% of GDP in either direction. That means the government can post a primary deficit of up to 31 billion reais and still remain in compliance with the goal. The government now forecasts a primary deficit of 26.3 billion reais, excluding nearly 50 billion reais in court-ordered payments, which the Supreme Court has ruled should not be included in the fiscal target calculation. ($1 = 5.5681 reais)
Business Recorder
6 days ago
- Business
- Business Recorder
Rs50bn extra subsidies to power consumers: Planning ministry defies ECC decision
ISLAMABAD: The Ministry of Planning, Development and Special Initiatives has reportedly declined to comply with the Economic Coordination Committee's decision to allocate Rs50 billion in additional subsidies to power consumers over a three-month period, well-informed sources told Business Recorder. According to sources, the Planning Ministry has referred to a letter from the Finance Division dated May 16, 2025, and an Office Memorandum (OM) from the Power Division dated June 5, 2025, regarding the ECC's May 5, 2025 decision on 'tariff rationalization for the power sector – waiver of rebasing for up to 200 units.' The Planning Ministry argues that, under the Public Finance Management (PFM) Act 2019, funds under the Public Sector Development Program (PSDP) are to be allocated and released solely for duly approved development projects. The Ministry pointed out that the Federal Cabinet had approved the Rs50 billion reallocation from the PSDP during its meeting on July 8, 2024, based on a summary from the Power Division. However, the Finance Division subsequently revised the PSDP 2024–25 allocation downward—from Rs1,400 billion to Rs1,100 billion—via an Office Memorandum issued on July 26, 2024. As a result, ministries and divisions collectively surrendered Rs300 billion to absorb the reduction. Ministry seeks Rs1.6trn PSDP: FY26 budget on June 2 The Planning Ministry has stated that, in light of this overall reduction, it cannot surrender an additional Rs50 billion at this stage. However, it has no objection if the Finance Division reallocates the required funds from the Rs300 billion already surrendered by other ministries under PSDP 2024–25. It has advised the Power Division to approach the Finance Division accordingly. Official documents reveal that the ECC, on May 5, 2025, had directed the Planning Ministry to surrender Rs50 billion from the PSDP to the Power Division as part of the government's commitment to meet circular debt (CD) targets agreed with the International Monetary Fund (IMF). The Power Division had earlier informed the ECC that the Prime Minister's Office, on May 13, 2024, instructed it to finalize a plan for off-grid energy solutions, including the solarization of tube wells in Balochistan, for the FY 2024–25 budget. Subsequently, consultative meetings were held under the chairmanship of the Minister for Power and the Chief Minister of Balochistan. The sessions were attended by the Ministers for Commerce and State for Power, provincial ministers, secretaries, and energy experts. The recommendations from these meetings were presented to the Prime Minister on February 2, 2024. It was agreed to solarize approximately 27,000 agricultural tube wells, each eligible for compensation of up to Rs2 million, contingent upon disconnection from the national grid. The cost—estimated at Rs55 billion—would be shared between the federal government (70%) and the Balochistan government (30%). A detailed agreement, including implementation mechanisms via Standard Operating Procedures and a Steering Committee, was signed on July 8, 2024, by the Power Division Secretary and the Chief Secretary of Balochistan. The Cabinet gave formal approval on July 31, 2024. So far, Rs14 billion has been released via a Technical Supplementary Grant (TSG) from the National Food Security and Research Division's budget under the Prime Minister's National Programme for Solarization of Agricultural Tube Wells. The Power Division informed the ECC that the remaining Rs24.5 billion would need to be provided from the Rs50 billion additional subsidy allocation proposed by the Finance Division. It emphasized that, in order to meet the revised CD flow target of Rs337 billion by June 2025, it must utilize the entire Rs1.229 trillion subsidy allocated for the power sector. The Cabinet's July 8, 2024, approval to reallocate Rs50 billion from the PSDP to fund tariff differential subsidies is part of this subsidy allocation. While the Power Division agreed to allocate funds from its existing budget in the short term, it requested that any shortfall be reimbursed in June 2025 to meet IMF-agreed CD targets. To address the issue, the Power Division submitted two proposals: (i) Finance Division should surrender Rs50 billion from PSDP to the power subsidy lump provision in Demand No. 45, as per the Cabinet's July 8, 2024 approval; and (ii) a Technical Supplementary Grant of Rs24.5 billion should be transferred from Demand No. 45 of the Finance Division to Demand No. 33 of the Power Division, for the implementation of the solarization project in Balochistan. Copyright Business Recorder, 2025
Business Recorder
12-07-2025
- Business
- Business Recorder
Gwadar port: security threats among hurdles to functioning
ISLAMABAD: The Senate Standing Committee on Planning, Development and Special Initiatives was informed that security threats and lack of connectivity are the main hurdles in the fast development and functioning of Gwadar Port. The committee met with Senator Quratulain Marri in the chair at the Parliament house on Friday. The committee discussed issues related to ports of Pakistan, status of approval of un-approved schemes in the PSDP-25-26 and Sukkur-Hyderabad-Karachi Motorway (M-6). When committee Chairperson Quratulain Marri asked about proper function of Gwadar Port, responding to the question, the Planning Ministry cited persistent security threats as the primary reason for Gwadar Port's limited progress. The additional secretary of Ministry of Maritime Affairs admitted that security and connectivity are main issues for development and function of Gwadar Port. He said that that the Chinese engineers and workers want complete security in and out of Gwadar Port. He said that we are providing VIP security to Chinese engineers and workers. The committee also received a joint briefing by the ministries of Planning and Maritime Affairs on port charges. It was revealed that charges at Gwadar Port exceed those of regional ports such as Jebel Ali in Dubai, and no incentives are currently provided to shipping lines. The Maritime Affairs Ministry proposed a phased approach to operationalise Gwadar Port, beginning with a transit trade model. Another reason was identified as the lack of private sector interest in the port. Officials further confirmed that port charges in Pakistan are generally higher than those in the region. It was noted that current rates at Karachi Port Trust (KPT) are lower than those in 1994. He said that wet charges comprise only five per cent of total charges. Connectivity challenges were also discussed, particularly the delay faced by trucks accessing the Super Highway from KPT, which can take up to 24 hours, significantly impacting logistics and costs. The committee was informed that work on an elevated Lyari Expressway is in progress to directly link the port. The KPT-Pipri railway track project was also highlighted, although it requires additional attention and funding. Chairperson Marri acknowledged the efforts of the Ministry of Maritime Affairs and recommended the construction of a dedicated and shorter route between KPT and the Super Highway to improve connectivity and reduce transport time. The Additional Secretary of Planning Ministry during the briefing told the committee that in June, 2025, five CDWP meeting were held in which 31 projects were considered, wherein 27 projects were approved and seven projects were recommended to Ecnec and one project was deferred. He said that CDWP approved 27 development projects of total cost of 77.78 billion and seven projects of 481.96 billion to ECNEC. Senator Quratulain Marri emphasised the inefficiency of executing development projects in fragmented phases, urging that projects be completed in a single execution cycle based on priority needs. She underscored the strategic significance of the N-5 and called for its immediate commencement. Expressing concern over two operational toll plazas between Matiari and Hyderabad, she directed officials to investigate the matter and submit a report. Copyright Business Recorder, 2025
CairoScene
10-07-2025
- Automotive
- CairoScene
Local Car Manufacturing Gets EGP 1.5 Billion Boost
Egypt's Planning Ministry allocated EGP 1.5B in FY 2025 to localize car manufacturing, create 10,000 jobs, and support suppliers as part of its ambitious automotive development program. Jul 10, 2025 The Ministry of Planning and Economic Development has committed EGP 1.5 billion in fiscal year 2025 to accelerate its automotive industry through a localisation-focused support program. The initiative is part of the state's broader strategy to enhance industrial productivity and reduce import dependence, particularly in the growing segment of electric and dual-fuel vehicles. According to the Ministry, the funds will go toward supporting key suppliers, incentivising local production, and creating 10,000 new job opportunities in the automotive sector. The government's aim is to build a more competitive domestic supply chain and attract further private investment. The localisation push is in line with Egypt's sustainable development agenda, as the country seeks to balance economic growth with environmental goals, including promoting greener vehicle technologies. The plan also aligns with Egypt's efforts to transform into a regional hub for vehicle assembly and parts manufacturing.
Shafaq News
07-07-2025
- Politics
- Shafaq News
KRG pushes back against Qara Tapa upgrade
Shafaq News - Diyala The federal plan to upgrade Qara Tapa from a sub-district to a district and include Koks within its boundaries is political and unconstitutional, the Kurdistan Region's Garmian Administration stated on Monday. 'Koks is part of the Kurdistan Region and was formally integrated after 2003 through official regional procedures,' the administration stated. 'Any attempt to detach it from Garmian constitutes a legal violation and will not be accepted.' Residents of Koks, regardless of ethnic or sectarian background, reject the proposal and insist on remaining under Kurdistan's administrative and political jurisdiction, the statement added. The Garmian Administration affirmed it will pursue all legal and political measures to block the plan and preserve Koks' current status. Earlier, Iraqi lawmaker Karwan Yarwais described the Planning Ministry's move as a direct breach of Article 140 of the Iraqi Constitution, which governs the resolution of disputed territories between Baghdad and Erbil. 'Altering administrative boundaries without resolving Article 140 reflects a return to the Arabization tactics of former regimes," he told Shafaq News. On July 2, Iraq's Ministry of Planning confirmed that Deputy Prime Minister and Planning Minister Mohammed Ali Tamim had approved the creation of the Qara Tapa district, encompassing the Jabara (21092) and Koks (21093) sub-districts under a new national administrative designation.
