PM announces cosmetic austerity steps to save Rs200bn annually

Prime Minister Shehbaz Sharif has announced that all federal ministers, ministers of state, special assistants, advisors have decided not to take salary and other benefits to slash expenditures while eyeing an ambitious plan to save Rs200 billion annually.

He made this announcement while addressing a press conference along with the members of his cabinet after the cabinet meeting in Islamabad on Wednesday.

PM Shehbaz said that all members of the cabinet would pay their utility bills – electricity, gas and telephone – from their own resources , adding that they had also decided to return their all luxury cars, which would be auctioned,  and would not stay in five-stars hotels during their foreign visits.

The premier further said that there would be a complete ban on purchase of all luxury items till 2024, adding that ministers would have only inevitable foreign visits and would travel in economy class.

Shehbaz said that ministers would not be accompanied by his support staff on foreign visits. He claimed that all luxury cars of the ministers would be auctioned and the purchase of new vehicles would be completely banned till June 2024.

All the division, departments, subordinates and other government entities under the federal government would slash their current expenditures by 15 percent whereas purchase of luxurious vehicles would be completely banned.

Ministers would be provided security vehicles in case of need, the prime minister said and added no new administrative units – Tehsil and district – would be formed.

He said this practice was being immediately banned and anyone found violating the ban would be proceeded against.

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He also announced that there is also a proposal of opening government offices at 7:30 AM, adding that not more than one plot would be given to public officers.

The TA, DA of the officials would be reduced by utilizing the telecommunication facilities like holding of zoom conferences which would be promoted to save expenditures.

Shehbaz said that no new department and institution would be established in the jurisdiction of federal government, adding that a committee to be headed by the law minister has been constituted to decide about the future of public houses and it would also consider the auction of the land of public houses.

The committee would mull the construction of alternative residential units for public employees and officers, he said.

The premier said that there would be only one dish in all government ceremonies, requesting all provincial chief ministers to follow these measures as well.

Shehbaz also made an important announcement that on the recommendation of ministerial committee, no public official would take any gift worth more than $300 from Toshakhana, adding that it was also decided that all record of the Toshakhana would be made public.

However, the premier avoided answering a question about the resignation of the NAB chairman and said that he would talk about it later and wanted to focus only today’s issue.

Shehbaz claimed that these austerity measures would save Rs200 billion, adding that as per his knowledge, gifts given to military institutions and judiciary did not come in the jurisdiction of Toshakhana.