PM Shehbaz forms committee to reduce federal govt expenditures

ISLAMABAD: Amidst the nation’s fragile economy and escalating poverty rates, Prime Minister Shehbaz Sharif has initiated a fresh wave of austerity measures to navigate the challenging economic landscape.

In response, PM Shehbaz has convened a committee tasked with streamlining federal government expenditures.

As per a notification issued by the Cabinet Division, the committee’s formation aims to devise a pragmatic plan for reducing government spending.

The committee, chaired by the Deputy Chairman of the Planning Commission, comprises key figures such as the Secretary of the Cabinet Division, Secretary of the Finance Division, and Mr. Rashid Mahmood Langrial, Secretary of Industries and Production.

Additionally, renowned economists Dr. Kaiser Bengali, Dr. Farrukh Saleem, and Muhammad Naveed Iftikhar are also enlisted as members.

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The committee’s terms of reference include a comprehensive review of previous reports, notably those commissioned by the National Austerity Committee, to identify opportunities for institutional reforms and downsizing initiatives within the federal government.

Furthermore, the committee is mandated to consolidate progress made thus far in downsizing government operations and to formulate a detailed strategy with timelines for implementing pending recommendations.

The notification emphasizes the committee’s flexibility to consider additional proposals, such as adjustments to the Public Sector Development Program (PSDP) and pension schemes, aimed at curbing government expenditure.

To bolster its efforts, the committee is empowered to enlist the expertise of individuals from the public or private sectors as deemed necessary. A swift turnaround is expected, with the committee instructed to submit its comprehensive report within one week for the Prime Minister’s review.

The Cabinet Division stands ready to extend full secretarial support to ensure the committee’s seamless operation and timely submission of its findings.