The Ministry of Commerce has come under scrutiny for financial mismanagement totaling Rs9.47 billion during the 2023–24 fiscal year. The Auditor General of Pakistan highlighted severe financial irregularities in its Audit Report 2024–25. The report examined expenses across departments and organizations under the ministry. It found multiple violations of financial rules, including unauthorized payments, weak documentation, and non-compliance with procurement laws.
One of the most serious findings involved an Rs1.1 billion payment made by the Trading Corporation of Pakistan (TCP). The amount was spent on urea procurement without using a competitive bidding process. This deal violated public procurement rules and lacked transparency. Although time allowed for market exploration, the agreement was executed as a government-to-government transaction.
Trade Development Authority of Pakistan
The TDAP spent Rs96 million on foreign exhibitions and promotions. However, these payments were made without performance reviews or completion certificates. This raised concerns over wasteful spending and poor fund management.
Another key concern was the Export Development Fund’s failure to recover Rs3.1 billion in dues. Repeated audit queries and internal reminders were ignored. The report said no serious effort was made to recover the amount.
The Pakistan Horticulture Development and Export Company (PHDEC) also faced audit criticism. It spent over Rs250 million through irregular methods. Consultants were hired without tenders, and development funds were used for administrative costs. Several payments were undocumented, breaching basic financial controls.
The audit flagged additional concerns, including duplicate payments, poor recordkeeping, and unreconciled accounts. It stated that incomplete documentation further obstructed financial assessment.
Another Rs110 million was spent on foreign tours without formal approvals or post-activity reporting. This spending reflected broader issues of weak oversight and internal control failure.
The Auditor General recommended urgent inquiries into all reported irregularities. It urged the ministry to recover lost funds, punish those responsible, and strengthen internal audits. As of now, the Ministry of Commerce has not issued an official response.