Overview

Prime Minister Shehbaz Sharif on Wednesday addressed the National Economic Council (NEC), the country's highest economic decision-making forum, as the current fiscal year nears its close. The meeting aimed to finalise federal and provincial development plans ahead of the budget presentation for the upcoming fiscal year (FY2026-27), according to reports in Dawn.

In his televised remarks, PM Shehbaz said the centre and provinces had consulted extensively and made decisions "in the best interest of Pakistan." He thanked all chief ministers for their "consultations and assistance on all matters." Punjab Chief Minister Maryam Nawaz was absent due to recovering from a medical procedure, the prime minister noted.

Economic Stability and Growth

Addressing the nation's economic outlook, PM Shehbaz acknowledged that while the economy faces significant challenges, it is "stable at the macroeconomic level." However, he stressed that injecting growth into the economy is an "extremely important process." He called advancing employment, production, exports, and economic activity a "collective responsibility."

Ahead of the NEC meeting, the centre had been consulting provinces on where additional resources could be mobilised. PM Shehbaz highlighted that the Centre had already spent Rs128 billion from its limited resources before receiving provincial assistance, particularly to manage the impact of rising global oil prices.

The recent surge in global oil prices, which led to increased petroleum product prices in Pakistan, was described by the prime minister as a "huge challenge." He expressed gratitude that no "rationing or long queues" were witnessed after the Middle East conflict sparked, attributing this to cooperative efforts between the centre and provinces.

The NEC reviewed federal and provincial development plans worth Rs4.715 trillion for the next fiscal year.

IMF Relations and Defence Challenges

PM Shehbaz spoke about his recent phone call with International Monetary Fund (IMF) Managing Director Kristalina Georgieva, noting that she was "extremely appreciative of Pakistan's sincere efforts" towards the IMF programme. He said all governments had tried to stay on track with the programme despite "some difficult stages."

Addressing security concerns, the prime minister identified the "biggest challenge" as strengthening the country's defence, particularly against terrorism. He acknowledged the sacrifices made by the entire nation, especially in Khyber Pakhtunkhwa and Balochistan, along with law enforcement agencies and the armed forces.

Key Claims

  • The NEC met to finalise federal and provincial development plans worth Rs4.715 trillion for FY2026-27, as reported by Dawn.
  • PM Shehbaz stated that the Centre spent Rs128 billion before provincial assistance, and that no fuel shortages or queues occurred after the Middle East conflict, according to Dawn.
  • The prime minister said he had a call with IMF chief Kristalina Georgieva, who appreciated Pakistan's efforts, as stated in his remarks carried by Dawn.
  • He called for strengthening defence against terrorism and injecting incentives for export growth and manufacturing, per his address.

Perspectives

The PM's address strikes an optimistic tone, highlighting economic stability and provincial unity. He credits provincial cooperation for managing past challenges and looks ahead to fostering growth and strengthening defence. The emphasis on consultations and gratitude towards provincial leaders suggests a collaborative approach in facing national issues.