Amidst the country’s economic crisis and the financial strain affecting the public, the government’s latest measures signal a serious commitment to addressing these challenges. Chief among these measures is a significant reduction in government expenditures, which is expected to yield positive results. The Right-Sizing Committee, under the leadership of the Finance Minister, has presented its recommendations to the federal cabinet after receiving approval from the relevant forums. During a cabinet meeting chaired by Prime Minister Shahbaz Sharif on Tuesday, the committee’s six-point agenda was reviewed, leading to critical decisions. The recommendations include the elimination of 150,000 positions, the closure or merger of multiple institutions, and an immediate ban on new hires.
Before these recommendations reached the federal cabinet, several high-level meetings under the Prime Minister’s leadership had already approved important economic decisions. One such decision involved closing the National Information Technology Board and initiating legal proceedings for its dissolution, as well as allocating funds for the privatization of government institutions. The Prime Minister also directed that 50 percent of government cargo be routed through the Gwadar port moving forward. He set a target of $25 billion for IT exports and stressed the need to effectively utilize IT parks, increase local exports, and eliminate non-trade barriers with the assistance of Chinese experts. It is noteworthy that the IT park project has already led to a 30 percent increase in IT exports.
Furthermore, the Prime Minister’s Office and the Federal Secretariat have been instructed to implement the e-office plan within three days, with federal ministries and divisions given a two-week deadline to comply. While the recommendations from the Right-Sizing Committee, which have received cabinet approval, are crucial, it is evident that there should be a greater focus on reducing government positions and employees, along with other related issues. One major concern is the size of the cabinet itself. Even among some of the world’s wealthiest nations, the number of ministers rarely exceeds fifteen, yet our country’s federal and provincial governments boast a disproportionately large number of ministers. Given the current economic climate, such an extensive cabinet is unsustainable. Political considerations often result in the appointment of numerous ministers, each with a correspondingly large support staff.
The salaries and perks for these ministers are extravagant and out of line with the economic hardships faced by ordinary citizens. Ministers, as public representatives, should set an example of austerity and frugality. The bureaucratic salaries and benefits are similarly excessive. The cost of electricity has escalated to such a degree that people are driven to extreme measures, while billions of rupees worth of electricity is provided free to government officials. Additional benefits include free petrol, gas, vehicles, bungalows, and generous pensions. In addition to right-sizing, strict austerity measures are necessary to ensure that even the poorest can afford basic necessities. The government must address these issues, especially in light of rising inflation and unemployment. The uncertainty surrounding the economic future is prompting skilled individuals, particularly the youth, to seek opportunities abroad. Controlling unemployment and curbing this trend could lead to economic and financial stability within the country. Implementing these measures effectively is the best path to navigating the current crises and improving the nation’s economic prospects.
#ComprehensiveAusterity,
#EconomicResilience,
#AusterityForAll,
#AusterityInAction,
#RightSizingPakistan,
