Speaking in Islamabad, the prime minister warned that petroleum prices may rise further in the coming days.
ISLAMABAD: Prime Minister Shehbaz Sharif has announced a series of austerity measures aimed at reducing government expenditures amid the country’s challenging economic conditions, including a 50% reduction in fuel for official vehicles for two months.
Speaking in Islamabad, the prime minister warned that petroleum prices may rise further in the coming days, prompting the government to implement strict cost-cutting steps across public institutions.
Under the new measures, fuel allocation for government vehicles will be reduced by half for two months, while 60% of vehicles used by all government departments will remain off the roads during the same period.
Salary Cuts and Spending Reductions
The prime minister also announced that federal cabinet members will not receive their salaries for two months, while members of parliament will face a 25% salary reduction.
In addition, senior officers in Grade 20 and above earning more than Rs300,000 per month will have two days’ salary deducted. Government departments have also been directed to cut non-salary expenditures by 20%.
Ban on Foreign Trips and Official Events
The government has imposed a ban on foreign visits by federal and provincial ministers and officials, allowing travel only in cases of urgent national interest. Authorities have been instructed to prioritise teleconferencing and online meetings instead.
Furthermore, the prime minister announced a complete ban on official dinners and iftar gatherings, while seminars and conferences will now be held in government buildings instead of hotels.
Work-From-Home and Reduced Work Week
According to the new policy, 50% of staff in both public and private institutions will work from home, and government offices will operate four days a week. However, the additional weekly holiday will not apply to banks.
The prime minister also declared two weeks of holidays for public educational institutions starting next week as part of the broader measures.
