The finance ministry said on Thursday that Pakistan and the United States had formally launched a strategic economic initiative, including collaboration regarding the operation, maintenance, renovation, and redevelopment of the Roosevelt Hotel in New York.

In a statement, the ministry said that the initiative would include collaboration with the US General Services Administration (GSA) for the redevelopment of the hotel.

“This engagement was negotiated and stewarded by US Special Envoy Steve Witkoff under the leadership of President Donald J. Trump,” it said.

“To advance this partnership, both governments have signed an MoU formalising their cooperation,” the ministry added.

The statement said the MoU was signed by GSA Administrator Edward C Forst and Finance Minister Muhammad Aurangzeb on behalf of Pakistan, and was witnessed by Prime Minister Shehbaz Sharif and Witkoff.

“It establishes a structured, time-bound framework for joint evaluation of the technical, commercial, and economic parameters of cooperation, reflecting a shared commitment to transparent, disciplined, and mutually beneficial progress,” the statement said.

The statement noted the Roosevelt Hotel’s prime location in Manhattan and the complexity of New York zoning and municipal process, saying the “institutional coordination aims to reduce execution risk, enhance regulatory clarity, and maximize transaction value”.

“Such facilitative frameworks are consistent with international practice in cross-border real estate and infrastructure projects,” it added.

“The objective remains to secure maximum value for this property in alignment with the government’s privatisation strategy while strengthening Pakistan-United States economic ties,” the statement concluded.

The GSA primarily manages federal property and procurement for US government agencies, and its publicly stated mandate does not typically include commercial redevelopment of foreign state-owned assets. It was not immediately clear under what authority the agency would facilitate the project.

Named after former US President Theodore Roosevelt, the century-old property in midtown Manhattan is seen as one of Pakistan’s most valuable foreign assets, which it acquired in 2000. Faced with mounting losses, the over 1,000-room hotel was shut in 2020, and has also operated briefly as a migrant shelter.

The hotel is located near marquee New York destinations such as Grand Central Terminal, Times Square, and Fifth Avenue, placing it in one of Manhattan’s most valuable commercial zones.

Additional input from Reuters

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The Economic Coordination Committee (ECC) on Thursday approved the release of Rs19 billion for Prime Minister Shehbaz Sharif’s Ramazan package.

On February 12, PM Shehbaz had announced a Rs38bn Ramazan relief package, which would benefit more than 12 million families — around 36m people — through direct digital payments.

In a post on X, the finance ministry said Finance Minister Muhammad Aurengzeb remotely chaired a meeting of the ECC.

The post said that the ECC approved the “immediate release” of Rs19bn for the prime minister’s package to “ensure timely disbursement of assistance to vulnerable families”.

“The remaining requirement out of the proposed Rs25bn will be released as and when necessary, in line with fiscal space,” the ministry said.

“The prime minister’s Ramazan relief package 2026 is designed to provide targeted cash assistance to low-income households during the holy month, using National Socio-Economic Registry data to ensure transparency and objective beneficiary selection,” the finance ministry said.

It added that the “funds will be disbursed directly through formal banking and digital channels to ensure secure, efficient and dignified delivery”.

The ministry further said that during the meeting, the ECC also granted “in-principle approval for Rs1bn operational expenses, directing that detailed cost breakdowns be shared with the Finance Division to ensure transparency, fiscal prudence, and compliance with financial rules”.

It stressed “balancing swift relief delivery with strong financial oversight” and further noted that “any unutilised funds would be surrendered in accordance with established procedures”.

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ISLAMABAD: After a period of relative stability, power companies have sought additional fuel cost charges of over Rs1.78 per unit from consumers across the country in March bills, as demand appeared to pick up and power generators returned to furnace oil.

The Central Power Purchasing Agency (CPPA) demanded a higher fuel cost on account of power consumed in January, even though almost 60 per cent of the power was generated from domestic, cheaper sources. Electricity consumption was reported to be around 12pc higher than the same month last year and 8pc higher than December 2025.

Once approved, the power companies would charge an additional amount of about Rs16bn to consumers of all the power companies, including ex-Wapda Distribution Companies (Discos) and K-Electric, in the billing month of March. The National Electric Power Regulatory Authority (Nepra) has called a public hearing on February 26 to examine the request for fuel cost adjustment (FCA).

The CPPA, which filed the petition for a higher FCA for January consumption, said the power consumption was around 12.1pc higher than the same month of the previous year and about 8pc higher than the previous month, December 2025. The power companies have claimed an average fuel cost of Rs12.18 per unit for January 2026, compared to Rs11.03 per unit of the same month of the previous year and almost Rs2.56 per unit higher than Rs9.62 per unit in December 2025.

CPPA demands higher fuel charges citing 12pc increase in demand

The CPPA reported that 8,762 billion units (gigawatt hours) of electricity were delivered to Discos in January.

The power companies have claimed that the average fuel cost amounted to Rs12.18 per unit in January, against a pre-approved reference fuel cost of Rs10.395 per unit. There is a need for an additional FCA of about Rs1.78 per unit.

The CPPA said about 9,140GWh of electricity was generated in January at an estimated fuel expenditure of Rs106.4bn (Rs11.64 per unit), of which 8,762GWh of energy was delivered to Discos for Rs106.7bn (Rs12.18 per unit), leading to a higher fuel cost over what was already charged to consumers in December bills. Regasified Liquefied Natural Gas (RLNG)- based power generation accounted for the largest share of the grid’s fuel, with almost 22pc.

This was followed by nuclear power with its 17.5pc share. Traditional hydropower generation dipped to just 8pc in the wake of the annual canal closure for maintenance. Third position was secured by imported coal, with a 17.28pc share, followed by local coal with a 15.4pc share.

The share of local gas-based generation stood at 12pc in January, up from 11pc in December. Furnace oil-based generation revived to 3pc, although the fuel has been officially phased out.

Furnace oil-based generation was the most expensive at Rs33.55 per unit, followed by Rs20 per unit from RLNG, Rs13.5 per unit from imported coal, Rs12.74 per unit from local gas, and Rs11.63 per unit from local coal. There was no power generation from high-speed diesel.

The nuclear fuel cost amounted to Rs2.23 per unit in January. The three renewable energy sources — wind, bagasse and solar — together contributed a 4.55pc share to the grid. Wind and solar have no fuel costs, while bagasse-based plants had a fuel cost of Rs10.39 per unit, with just 1.11pc contribution to the grid. Electricity imports from Iran accounted for 0.38pc of the total, with a fuel cost of Rs22.06 per unit.

Published in Dawn, February 19th, 2026

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