Finance ministry reveals austerity measures to control expenditures

Purchase of vehicles and creation of new posts banned

ISLAMABAD   -  The ministry of finance has announced austerity measures to control the expenditures including ban on purchase of vehicles and creation of new posts.

Under the austerity plan, there shall be a complete ban on the following expenditures with respect to the current budget, purchase of all types of vehicles with the exception of operational vehicles such as ambulances & other medically equipped vehicles, fire fighting vehicles, buses & vans for educational institutions, solid waste vehicles and motorbikes. Meanwhile, there would be ban on procurement of machinery/equipments with the exception of those required for hospitals/laboratories/agriculture/mining/ schools.

According to the austerity measures, there would be ban on creation of new posts including contingent paid/temporary posts. There would be ban on continuation of contingent paid/temporary posts beyond one year. The government has imposed ban on the treatment abroad at the government expense and all non-obligatory visits abroad where GoP funding is involved. All posts lying vacant for last three years shall be abolished. Purchase of durables and creation of posts under PSDP funded projects shall be exempted from the application of this ban. The austerity measures notified by the Cabinet Division vide O.M. Nos. 7-1/2023. Min-I and No. 9-148/2002-Min-II dated 28.2.2023 will remain applicable unless modified or withdrawn by the federal cabinet. The ministry of finance has asked all Ministries/Divisions to disseminate the above instructions to all departments under their administrative control for strict compliance.

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