PM slashes ministers’ salaries, halves vehicle fuel amid economic crunch

2026-03-09 - 16:54

ISLAMABAD: Prime Minister of Pakistan Shehbaz Sharif has announced a wide-ranging set of austerity measures across federal and provincial governments to address the ongoing economic challenges and ensure relief for the public. Fuel Restrictions for Government Vehicles Under the new directives, all government departments will face a 50 percent reduction in petrol usage for official vehicles for the next two months, though ambulances and public transport buses will remain exempt. In addition, 60 percent of departmental vehicles will be taken off the road, and purchases of vehicles, furniture, air conditioners, and other non-essential items have been suspended. Salary Reductions and Suspensions The Prime Minister Shehbaz Sharif also announced salary reductions and suspensions. Cabinet members, ministers, advisers, and special assistants will forego salaries for the next two months, while members of Parliament will face a 25 percent pay cut. Senior officers in Grade 20 and above, with salaries exceeding Rs300,000, will see two days’ pay deducted, which will be directed toward public relief efforts. Government departments have also been instructed to reduce all non-salary expenses by 20 percent. Work-from-Home and Office Operations In a bid to conserve fuel, the government has directed that teleconferencing and online meetings take precedence, and only 50 percent of staff in government and private sectors will report to offices, except in essential services. Offices will remain open four days a week, with one extra holiday added. However, PM Shehabaz Sharif said that this does not apply to banks or critical sectors such as industry and agriculture. Official seminars, conferences, dinners, and Iftar parties will now be held in government premises, and outdoor gatherings have been banned. Education Sector Measures All schools will receive two weeks’ holidays starting this weekend, while higher education institutions will immediately begin online classes to ensure continuity of learning. Warning to Hoarders and Profiteers The PM Shehbaz Sharif further warned hoarders and profiteers in petrol, diesel, and other essential commodities that strict legal action would be taken. All provincial governments have been instructed to implement these measures efficiently to maximize their impact. The Prime Minister of Pakistan emphasized that these steps are temporary and precautionary, aimed at easing the burden on citizens while ensuring efficient use of public resources during the current economic crisis.