Sindh cabinet unveils austerity plan to cut public spending – Pakistan Observer

Sindh cabinet unveils austerity plan to cut public spending – Pakistan Observer

60pc govt vehicles to remain off roads; Assembly members voluntarily reduce 25pc salaries

Zubair Yaqoob
Karachi

Sindh government approved a sweeping austerity package on Tuesday aimed at reducing fuel consumption, cutting public spending and stabilizing provincial finances amid mounting economic pres-sures and uncertainty in global energy markets.

The measures were endorsed during a meeting of the provincial cabinet chaired by Chief Minister Syed Murad Ali Shah at the Chief Minister’s House in Karachi.

Provincial ministers, advisers, special assistants and senior bureaucrats attended the meeting, which reviewed a 23-point agenda covering fiscal discipline, governance reforms, education policy and social protection. At the center of the package is a broad effort to conserve fuel and limit government expenditures over the coming months. Officials said the austerity drive was designed to help the province navigate a challenging economic environment while maintaining essential public services. Under the new plan, the supply of petrol to government vehicles will be reduced by 50 percent for two months.

The government estimates the move could save nearly 960 million rupees. Emergency vehi-cles, including ambulances and public transport buses, will remain exempt from the restrictions. In addition, 60 percent of government vehicles across provincial departments will remain off the roads for the same two-month period. Authorities have also instructed departments to encourage carpooling among officials to further limit fuel consumption.

Senior members of the provincial government have also agreed to financial sacrifices as part of the initiative. Provincial ministers, advisers and special assistants will forgo their salaries and allowances for three months — April through June — in what the chief minister described as a gesture of solidarity with the public during difficult economic conditions. The cabinet also proposed a voluntary 25 percent reduction in the salaries of members of the provincial assembly.

The proposal will be formally conveyed to the speaker of the assembly for considera-tion. Senior civil servants earning more than Rs 300,000 per month, particularly those in Grade 20 and above, have been encouraged to voluntarily give up two days’ salary, though officers working in the health and education sectors will be exempt from the recommendation. The cabinet also approved a 20 percent reduction in nonessential government spending for the final quarter of the current fiscal year.

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