ISLAMABAD: The federal government’s monitoring committee convened on Monday to supervise the implementation of austerity measures aimed at reducing government spending.
The committee directed all Principal Accounting Officers (PAOs) of divisions within the ministries to cut their current budgets by 15% in 2022-23.
The first meeting of the committee was chaired by Federal Minister for Finance and Revenue, Senator Mohammad Ishaq Dar, at the Finance Division.
During the meeting, the Secretary of Finance provided a presentation on the decisions made and their current status of implementation. The presentation revealed that ministries were already working towards these measures, and instructions had been issued for immediate compliance. Any exemption or violation of the decisions is to be reported.
The goal of austerity drive
Last week, Prime Minister Shehbaz Sharif announced an austerity drive with the goal of saving Rs 200 billion (approximately $766 million) by reducing government expenditures. The announcement came with a list of measures to be implemented, including the elimination of various perks enjoyed by government employees and executives.
Prime Minister’s Office issued a statement
On Sunday, the Prime Minister’s Office issued a public statement outlining the formation of a seven-member committee to oversee the implementation of these measures. The committee will work towards ensuring that the decisions made are being effectively implemented.
The government’s efforts towards austerity have been ongoing, with a focus on reducing unnecessary expenses and promoting fiscal responsibility. The 15% budget cut directed towards PAOs is a key part of this effort.
The government hopes that these measures will lead to significant cost savings, which can be directed towards important initiatives, such as healthcare and education. The success of these measures will be closely monitored by the committee and other relevant authorities.
It is worth noting that austerity measures can be challenging to implement, particularly in situations where government spending is deeply ingrained in the system. However, the government is committed to promoting financial discipline and making the necessary changes to improve the country’s economic outlook.
schedule of the next meeting
The committee’s next meeting is scheduled to take place in two weeks, during which the progress made toward implementing the austerity measures will be reviewed. The government remains optimistic that these measures will lead to a more sustainable financial future for the country.
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The committee has directed all Public Accounting Officers (PAOs) to cut their current budgets by 15%. In addition, the use of teleconferencing for all meetings is now encouraged to reduce expenses and save time.
The decision to discontinue the use of luxury vehicles by Cabinet members and government officials must be implemented immediately.
challenging economic situation
Finance Minister Senator Mohammad Ishaq Dar highlighted the challenging economic situation in the country. Moreover, he emphasized the need for all concerned parties to expedite the implementation of austerity measures with sincerity and devotion. He stressed that this should be done without any exceptions.
However, the committee’s decision to cut budgets by 15% applies to all PAOs. This measure is aimed at reducing unnecessary expenditures and improving the country’s financial situation. In addition to this, the use of teleconferencing for all meetings will help reduce travel expenses and save time.
This decision by Cabinet members and government officials is a crucial step toward promoting austerity and accountability. This measure will help reduce unnecessary expenses and demonstrate the government’s commitment to responsible spending.
Ishaq Dar’s call for sincerity in implementing austerity measures underscores the importance of this issue for the country’s economic well-being. However, it is essential that all stakeholders take this matter seriously and work together to achieve the desired results.
In conclusion, these measures demonstrate the government’s commitment to responsible spending and economic stability. These measures will help reduce unnecessary expenses and contribute to a stronger, more prosperous nation.
