Fuel savings to fund highway, canal projects in Balochistan, says PM

Pakistan’s Prime Minister Shahbaz Sharif announced Tuesday that savings from falling global petroleum prices will be redirected toward infrastructure development in Balochistan instead of offering relief to the consumers.

Speaking at a federal cabinet meeting in Islamabad, the prime minister said the government would use the savings to begin doubling the N-25 highway, which connects Chaman to Karachi via Quetta, Kalat, and Khuzdar.

“The N-25 will be upgraded to the standards of a motorway to provide the people of Balochistan with better travel facilities,” he said.

Sharif added that the same funds will be used to complete Phase 2 of the Kachhi Canal, which is expected to irrigate hundreds of acres of land in Balochistan, boosting both provincial and national prosperity.

Chief Minister of Balochistan, Sarfaraz Bugti, who attended the cabinet meeting, thanked the prime minister for prioritizing development in the province.

Meanwhile, the government has decided to increase taxes on petroleum products.

According to a statement from the Prime Minister’s Office, the cabinet approved an amendment to the Petroleum Products (Petroleum Levy) Ordinance, 1961. The amendment was recommended by the Petroleum Division and is aimed at increasing national revenue.

In other decisions, the cabinet also approved a new Sustainable Investment Sukuk Framework to guide the issuance of domestic government securities. The Ministry of Finance proposed the framework, which will support local projects related to environmental sustainability and renewable energy.

Officials said this will help advance the country’s Sustainable Development Goals (SDGs), Nationally Determined Contributions (2021), and National Adaptation Plan (2023).

The cabinet also greenlit a bill to establish the National Agri-Trade and Food Safety Authority, which will now be sent to Parliament. The bill, recommended by the Ministry of National Food Security and Research, is aimed at regulating agricultural trade and ensuring food safety across Pakistan.