PUNJAB EDUCATION FOUNDATION ACT 2004

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THE PUNJAB EDUCATION FOUNDATION ACT, 2004 
(XII of 2004) 
CONTENTS 
1. Short title, extent and commencement 
2. Definitions 
3. Establishment of the Foundation 
4. Functions of the Foundation 
5. Board of Directors 
6. Managing Director 
7. Filling in vacancy 
8. Resignation of Director 
9. Removal of Director 
10. Fund 
11. Committees 
12. Authentication of decisions 
13. Rules 
13A. Directions of the Government 
14. Regulations 
15. Indemnity 
16. Repeal and Savings 
TEXT 
1
THE PUNJAB EDUCATION FOUNDATION ACT, 2004 
(XII of 2004) 
[9th June, 2004] 
An 
Act 
to provide for the restructuring of the Punjab Education Foundation. 
Preamble.– Whereas it is expedient to restructure the Punjab Education Foundation 
for the promotion of education, specifically encouraging and supporting the eff orts of 
the private sector in providing education to the poor and matters ancillary thereto; 
It is hereby enacted as follows:– 
1. Short title, extent and commencement .– (1) This Act may be called the 
Punjab Education Foundation Act, 2004. 
(2) It extends to the whole of the Punjab. 
(3) It shall come into force at once. 
2. Definitions.– In this Act, unless there is anything repugnant in the subject or 
context– 
(a) “Act” means the Punjab Education Foundation Act, 2004; 
(b) “Board” means the Board of Directors constituted under section 5; 
(c) “Chairperson” means the Chairperson of the Board elected under 
section 5; 
(d) “Director” means the Director of the Board; 
(e) “educational institution” means a primary, middle, high, and higher 
secondary school, teacher tra ining institution, special education 
institution, and any other institution engaged in education -related 
activities; 
(f) “financial assistance” includes grants, loans, scholarships, stipends, 
and rewards; 
(g) “Foundation” means the Punjab Education Foundat ion established 
under section 3; 
(h) “Fund” means the Fund established under section 10; 
(i) “Government” means the Government of the Punjab; 
(j) “grant-in-aid” means monies that are non-refundable; 
(k) “loan” means a refundable sum of money with or withou t mark up or 
service charge; 
                                                           
1This Act was passed by the Punjab Assembly on 26 May 2004; assented to by the Governor of the Punjab on 5 June 2004; 
and, was published in the Punjab Gazette (Extraordinary), dated 9 June 2004, pages 1455-1458. 
(l) “Managing Director” means the Managing Director of the Foundation; 
(m) “non-governmental organization (NGO)” means a non -governmental 
organization registered as such under the laws of Pakistan; 
(n) “prescribed” means prescribed by rules made under this Act; and 
(o) “quorum” means quorum of the meeting of the Board specified in 
section 5(6). 
3. Establishment of the Foundation .– (1) There shall be established a Punjab 
Education Foundation. 
(2) It shall be a body corporate havi ng perpetual succession and a 
common seal with power to hold and dispose of moveable property and to acquire, 
hold, and sell immoveable property with the approval of the Government and shall by 
the said name sue and be sued. 
2
[(3) The Foundation shall have its Headquarter at Lahore and may, with the 
approval of the Board, establish regional offices outside Lahore.] 
4. Functions of the Foundation.– The functions of the Foundation shall be to– 
(i) provide financial assistance for the establishment, expansion,  
improvement, and management of educational institutions and allied 
projects; 
(ii) provide incentives to students, teachers, and Educational Institutions; 
(iii) promote public-private partnerships relating to education; 
(iv) provide technical assistance to  Educational Institutions for testing 
policy interventions and innovative programmes for replication; 
(v) rank private educational institutions based on educational standards; 
(vi) raise funds through donations, grants, contributions, subscriptions etc.; 
(vii) assist Educational Institutions in capacity building, including training of 
teachers; and 
(viii) undertake any other function as may be assigned to it by the Board 
with the approval of the Government. 
5. Board of Directors .– (1) The executive authorit y and managing of the 
Foundation shall vest in the Board. 
3
[(2) The Board shall consist of fifteen Directors including the Chairperson 
and Managing Director to be appointed by the Government in the following manner: 
(a) eight Directors including at least 
4
[two] women from amongst the non -
governmental organizations, philanthropists, technocrats, 
academicians, parliamentarians and public representatives; 
                                                           
2Substituted by the Punjab Education Foundation (Amendment) Act 2016  (XVIII of 2016 ), published in the Punjab Gazette  
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.2. 
3Substituted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.3. 
4Substituted for the word “three” by the Punjab Education Foundation (Amendment) Act 2025 (LXVIII of 2025), published in the 
Punjab Gazette (Extraordinary), dated: 05 August 2025, p. 655, s.2(a). 
5
[Provided that three Directors shall be members of the Provincial Assembly of 
the Punjab with at least one woman member; 
      Provided further that the Directors from non -governmental organizations, and 
academicians must possess demonstrable expertise and experience in their 
respective fields.] 
(b) Secretary to the Government, Finance Department; 
(c) Secretary to the Government, School Education Department; 
(d) Secretary to the Government, Literacy and Non -Formal Basic 
Education Department; 
(e) Secretary to the Government, Social Welfare and Bait -ul-Maal 
Department; 
(f) Secretary to the Government, Planning and Development Department; 
(g) Vice Chancellor, University of Education, Lahore; and  
(h) Managing Director who shall also be the Secretary of the Board. 
Explanation.– The members mentioned from (b) to (f) may be represented by their 
nominees not below the rank of an Additional Secretary.] 
6
[(3) The Board shall elect the Chairperson from amongst the Directors 
appointed under clause (a) of subsection (2) for a period of three years.] 
(4) The Directors, other than ex -officio Directors, shall hold office for a  
term of three years and shall be eligible for re -appointment. The retiring Directors 
shall continue to perform their functions till their successors are appointed. 
7
[(5) * * * * * * * * * * *   ] 
8
[(6) Six Directors including at least three Directors appo inted under clause 
(a) of subsection (2) shall constitute the quorum for a meeting.] 
(7) The Board meeting shall be presided over by the Chairperson or, in his 
absence, by a Director duly nominated by the Chairperson. 
(8) The Board shall appoint the employ ees and other functionaries of the 
Foundation and determine the terms and conditions of their employment. 
(9) No act or proceedings of the Board shall be invalid merely on the 
ground of the existence of any vacancy or any defect in the constitution of the Board. 
(10) The Board may delegate any of its powers to the Managing Director to 
enable him to carry out its functions. 
9
[(11) The Board shall establish an effective system for monitoring, 
supervision and control of the discharge of functions under the Act.] 
                                                           
5Added by the Punjab Education Foundation (Amendment) Act 20 25 (LXVIII of 20 25), published in the Punjab Gazette 
(Extraordinary), dated: 05 August 2025, p. 655, s.2(b). 
6Substituted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punja b Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.3. 
7Omitted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.3. 
8Substituted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.3. 
6. Managing Director .– (1) The 
10
[Government] shall appoint a Managing 
Director who shall be the Chief Executive of the Foundation. 
(2) The Managing Director may exercise all such powers and do all acts 
and things as authorized by the Board. 
11
[(3) The Board shall determine the terms and conditions of service of the 
Managing Director.] 
12
[7. Filling in vacancy .–The Government may fill a vacancy of Director, other 
than an ex-officio Director, by appointing an eligible person for the unexpired period 
of the term of his predecessor.] 
8. Resignation of Director.– A Director, other than an ex-officio Director, may at 
any time, resign his office by addressing a letter to the Chairperson; provided that the 
resignation shall not take effect until it has been accepted by the Government. 
9. Removal of Director.– Government may remove a Director from the Board in 
such circumstances and in such manner as may be prescribed. 
10. Fund.– (1) There shall be established a Fund which shall vest in the 
Foundation and to which shall be credited– 
(i) grants made by the Federal, Provincial Governments and the local 
bodies; 
(ii) income from investments made by the Foundation; 
(iii) donations, endowments and subscriptions from organizations and 
individuals; 
(iv) revolving funds placed  by the Government at the disposal of the 
Foundation; 
(v) donations, endowments and grants from international organizations, 
subject to approval of the Government; and 
(vi) all other sums received by the Foundation from any other source. 
(2) The Fund shall  be kept in such custody and shall be utilized and 
regulated in such manner as may be determined by the Board. 
(3) The accounts of the Foundation shall be maintained in such form and 
manner as may be prescribed and shall be audited by an auditor, to be app ointed by 
the Government, being a person who is a Chartered Accountant within the meaning of 
the Chartered Accountants Ordinance, 1961 (Ordinance No. X of 1961). 
                                                                                                                                                                                     
9Inserted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.3. 
10Substituted for the word “Board” by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the 
Punjab Gazette (Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.4. 
11Inserted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.4. 
12Substituted by the Punjab Education Foundation (Amendment) Act 2 016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.5. 
(4) The Managing Director shall, at the close of each financial year, submit 
to the Board the audited annual statement of accounts of the Foundation, together 
with the report of the auditor. 
(5) The Managing Director shall submit to the Board at the end of each 
financial year a report of the activities of the Foundation during that year. 
11. Committees.– (1) The Board may constitute such financial, technical, advisory 
and other committees as may be deemed necessary for carrying out the purposes of this 
Act. 
(2) The composition and functions of the committees shall be such as the 
Board may determine. 
12. Authentication of decisions .– All decisions of the Board shall be 
authenticated by the signatures of the Chairperson and the Managing Director. 
13. Rules.– The Government may, by notification, make rules for carrying out the 
purposes of this Act. 
13
[13A. Directions of the Government .– In the performance of its functions, the 
Foundation shall be bound by and shall give effect to the directions of the 
Government.] 
14. Regulations.– Subject to the provisions of this Act and the rules framed 
thereunder, the  Board may, with the previous approval of the Government, make 
regulations as may be necessary to carry out the purposes of this Act. 
15. Indemnity.– No suit, prosecution or other proceedings shall lie against any 
14
[Director,] officer or employee of the Fo undation or any other person exercising any 
power or performing any function under this Act or the rules or regulations made 
thereunder for anything done in good faith. 
16. Repeal and Savings.– (1) On the commencement of this Act– 
(i) the Punjab Education Foundation Act, 1991 (I of 1991), shall stand 
repealed; 
(ii) the Punjab Education Foundation established under the Punjab 
Education Foundation Act, 1991 (I of 1991), shall stand dissolved; 
(iii) the assets and liabilities created under the said repealed Ac t shall 
stand transferred to the Foundation; and 
(iv) all rules made under the Punjab Education Foundation Act, 1991, shall 
remain in force in so far as they are not inconsistent with the provisions 
of this Act until the Rules are framed under this Act. 
(2) Save as otherwise specifically provided, nothing in this Act or any repeal 
effected thereby shall affect or be deemed to affect anything done, action taken, 
                                                           
13Inserted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.6. 
14Inserted by the Punjab Education Foundation (Amendment) Act 2016 (XVIII of 2016), published in the Punjab Gazette 
(Extraordinary), dated: 4 March 2016, pp. 4103-4104, s.7. 
proceedings commenced, orders, rules, regulations, appointments, mortgages or 
agreements made, di rections given or instruments executed or issued, under or in 
pursuance of any law repealed or amended by this Act and any such thing, action, 
proceedings, orders, rules, regulations, appointments, mortgages, agreements, 
directions or instruments shall, if  in force at the commencement of this Act and not 
inconsistent with any of the provisions of this Act, continue to be in force, and have 
effect as if it were respectively done, taken, commenced, made, given, executed or 
issued under this Act.