Islamabad April 15 2025: Pakistan’s federal cabinet, chaired by Prime Minister Shehbaz Sharif on Tuesday, approved a reallocation of savings from lower global petroleum prices to fund key infrastructure and agricultural projects in the country’s underdeveloped Balochistan province, according to a statement from the Prime Minister’s Office.
Instead of passing on the decline in international petroleum prices to domestic consumers, Sharif said the government will utilize the funds to dualize the strategic N-25 highway—connecting Chaman, Quetta, Kalat, Khuzdar, and Karachi—bringing it up to motorway standards. The move aims to improve travel and logistics in the province, the premier said during a cabinet meeting held in Islamabad.
Additionally, the government will use the saved amount to complete Phase 2 of the Kachhi Canal project. This initiative is expected to irrigate thousands of acres of land, boosting agricultural productivity and bringing prosperity to Balochistan and beyond. Balochistan Chief Minister Sarfraz Bugti, attending the meeting as a special invitee, thanked the premier for prioritizing development in the province.
Legislative and Fiscal Approvals
The cabinet also approved an amendment to the Petroleum Products (Petroleum Levy) Ordinance of 1961, based on a proposal by the Petroleum Division. The revision is expected to enhance national revenue.
Separately, the Ministry of Finance secured cabinet approval for the Sustainable Investment Sukuk Framework, which will allow the government to issue local Islamic bonds targeted at financing environmental sustainability and renewable energy projects. The framework aligns with Pakistan’s Sustainable Development Goals (SDGs), Nationally Determined Contributions (NDCs) 2021, and the National Adaptation Plan 2023.
Moreover, the cabinet greenlit the submission of a bill to Parliament for the establishment of the National Agri Trade and Food Safety Authority. The proposed body, under the Ministry of National Food Security and Research, aims to strengthen food safety and agricultural trade standards nationwide.
