Pakistan Announces Austerity Cuts to Salaries, Fuel Amid Economic Crisis

Radio Television of Afghanistan (RTA) said that among the steps announced are reductions in fuel allocations for government vehicles and temporary cuts to salaries and allowances of public officials.

Fuel allocations for government vehicles will be reduced by 50 per cent for two months, while around 60 per cent of government vehicles will remain unused during the same period to conserve fuel, the report said.

Moreover, members of the federal cabinet, ministers, advisers and special assistants will forgo their salaries for two months, while salaries of parliamentarians will be cut by 25 per cent, according to the report.

Senior government officials in grade 20 and above, earning more than 300,000 Pakistani rupees, will also contribute two days' salary toward public assistance efforts.

The government has also ordered a 20 per cent reduction in non-salary expenditures across departments and imposed a ban on purchasing vehicles, furniture, air conditioners and other equipment for government offices.

In addition, foreign travel for ministers and senior officials has been suspended, while video conferencing will be prioritised to reduce travel-related fuel consumption.

Official state banquets and iftar gatherings have also been prohibited, and seminars or conferences will be held in government facilities rather than hotels to limit costs.

Government offices will operate four days a week, with some departments shifting to 50 per cent work-from-home arrangements, while schools will remain closed for two weeks, with higher education institutions shifting to online classes, the report added.

Analysts cited by RTA suggested that further economic pressures could lead to additional restrictions.

The measures were discussed during a meeting reviewing the country's economic situation.

- IANS