ISLAMABAD: The Economic Coordination Committee (ECC) has approved a series of stringent amendments to regulate vehicle imports by overseas Pakistanis, aiming to curb longstanding misuse of existing schemes. The decision was taken during a meeting chaired by Finance Minister Senator Muhammad Aurangzeb, following detailed proposals from the Ministry of Commerce.
Under the revised framework, vehicles imported through the Transfer of Residence scheme must now originate from the same country where the overseas Pakistani resides. The Commerce Ministry stated that this verification requirement is intended to stop third-country shipments, a loophole that has enabled the misuse of the scheme for years. The Gift scheme, however, will remain exempt from this restriction.
The ECC also endorsed stricter eligibility criteria. Overseas Pakistanis must have spent at least three years abroad — totaling a minimum of 850 days — before becoming eligible to import a vehicle under either the Transfer of Residence or Gift scheme. Officials noted that this measure ensures only genuine long-term expatriates avail the facility, preventing frequent travelers from exploiting the concession.
In addition to retaining the Transfer of Residence and Gift schemes, the ECC approved the discontinuation of the Personal Baggage scheme. Commercial-import safety, environmental, and regulatory standards will now apply to all incoming used vehicles. The mandatory interval between successive imports has been extended from two to three years, while a one-year non-transferability period will apply to every imported vehicle to prevent quick resale.
During the meeting, the ECC also reviewed the Circular Debt Management Plan for FY 2025–26, presented by the Power Division. The committee instructed the Power Division, in coordination with the Finance Division, to finalize a medium-term strategy to reduce fiscal burden and to establish a monitoring mechanism with DISCOs to ensure compliance with targets set for improving efficiency in the power sector.
