ISLAMABAD (June 23 2009): Although the government has taken \'credit\' for increasing the support price of wheat as a policy decision that provided the critical support to the farm sector to meet domestic demand, this decision was, infact, taken as a loan condition of the Asian Development Bank (ADB), informed sources revealed exclusively to Business Recorder. An increase in the wheat support price and develop targeted safety nets for the poor and the vulnerable households were a precondition of a $500 million loan ADB loan subprogram 1. In 2008, GoP and ADB initiated Pakistan Accelerating Economic Transformation (PAET) Program under which the government of Pakistan agreed to: (i) support price of wheat for farmers increased to at least 90 per cent of export parity level (ii) issue price of wheat to flour mills increased to at least 90 per cent of market price (iii) administrative restrictions on domestic and international wheat trade eliminated (iv) regulatory environment in place for new financial products (v) addressing electricity subsidies and debt restructuring and targeted safety nets for the poor and vulnerable households and (iv) developing and implementing structural transformation. Ministry of Food and Agriculture (Minfa) consequently obtained the approval of the ECC on wheat support price for 2009 and beyond based on (a) cost of production (b) regional prices (c) import and export parity prices and (d) domestic and global market conditions. Wheat issue price at present reflects all these related costs. The sources said PAET program has been divided into four independent Subprograms (SP) spread over a period of four years, ie, 2008-2011. The second subprogram (SP 1), envisaging another $500 million, has a number of preconditions prior to its release. The government in the ECC meeting held last week evaluated whether all the preconditions for the release of subprogram II have been complied with and Pakistan is therefore eligible to receive funding for subprogram