PM Shehbaz extends austerity measures until June 13 to address fuel crisis amid US-Iran conflict


Clarifies that measures for which a specific period has not been defined will continue to apply until further notice

Prime Minister Shehbaz Sharif. Photo: Radio Pakistan

Prime Minister Shehbaz Sharif on Monday extended several austerity measures aimed at reducing fuel consumption until June 13 to address the ongoing fuel crisis amid the US-Iran conflict.

According to a notification issued by the Cabinet Division, “in consideration of the recommendations of the Committee for Monitoring and Implementation of Fuel Conservation and Additional Austerity Measures, the Prime Minister is pleased to extend the applicability of the following additional austerity measures until June 13.”

The notification further stated that the main austerity measures include a 50% reduction in fuel supply for official vehicles, 60% of official vehicles would be grounded and a complete ban on foreign visits and travel would be enforced, with exceptions specified in previous notifications.

“Other additional austerity and fuel conservation measures, notified from time to time through notifications of this Division, will remain in force for the periods specified in the respective notifications,” the statement read.

The Cabinet Division also clarified that measures for which no specific period or end date had been defined would remain applicable until further notice.

Earlier, in a meeting with Prime Minister Shehbaz, President Asif Zardari ordered the use of all possible measures to reduce the impact of inflation on the people.

The president said that despite the difficult geographical and regional situation, tensions in the Middle East and the disruption of the supply chain, maximum relief must be provided to the population.

Prime Minister Shehbaz, in a televised address to the nation in March, had unveiled several austerity and energy conservation measures to prevent fuel shortages.

He announced a four-day work week and a work-from-home policy, which included a 50% reduction in fuel allocated to government vehicles, except ambulances. Additionally, 60% of vehicles used by government departments were removed from the roads.

The prime minister stated that cabinet members, including ministers, advisers and special assistants, would not draw salaries for two months, while MPs’ salaries would be reduced by 25%.

Read more: PM announces 4-day work week and work from home

“Expenses of all government departments, apart from salaries, will be reduced by 20%,” he added.

It was also announced that senior government officials of grade 20 and above, earning more than Rs 300,000 per month, would have two days’ salary deducted, which would be used to provide relief to the public.

A complete ban has been imposed on the purchase of vehicles, furniture, air conditioners and other equipment by government departments as part of cost-cutting measures.

In addition, a complete ban on foreign visits by federal and provincial ministers, advisors, special assistants and other government officials was also implemented, except for travel deemed “essential to the national interest.”

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