Prime Minister Chairs Meeting on Reducing Government Size and Expenses

Islamabad: Prime Minister Muhammad Shehbaz Sharif has chaired a significant meeting focused on streamlining the government structure and reducing expenses. The meeting, held at the Prime Minister’s House, addressed key recommendations for reforming five federal ministries and implementing substantial cuts in vacant positions.

• Reduction in Vacant Positions: The meeting reviewed recommendations to eliminate approximately 150,000 vacant positions within the federal government. This is part of a broader strategy to streamline government operations and reduce administrative costs.
• Ban on Emergency Hiring: A complete ban on emergency hiring was proposed to prevent further increases in government staffing and expenditures.
• Mergers and Closures: The meeting discussed the consolidation of various ministries. Specifically:
  • Merging the Ministry of Kashmir and Gilgit-Baltistan with the Ministry of Frontier Regions.
  • Proposals for closing 28 institutions across the five targeted ministries, privatizing them, or transferring their responsibilities to other ministries or federal entities.
  • The recommendation to merge 12 institutions within these ministries.

• Federal Ministers Present: The meeting was attended by key federal ministers including:
  • Ahsen Iqbal, Federal Minister for Planning
  • Ahad Khan Cheema, Federal Minister for Economic Affairs
  • Muhammad Aurangzeb, Federal Minister for Finance and Revenue
  • Rana Tanveer Hussain, Federal Minister for Industry and Production
  • Shiza Fatima, Minister of State for Information Technology and Telecommunications
  • Ali Pervaiz Malik, Minister of State for Finance and Revenue
• Other Key Officials: The meeting also included:
  • Deputy Chairman Planning Commission, Jahangir Khan
  • Prime Minister’s Coordinators Dr. Malik Mukhtar Ahmad Bharth and Bilal Azhar Kiyani
  • Relevant senior government officials

• Focus on Efficiency: Prime Minister Sharif emphasized the need to reduce government expenditure and improve public service delivery. He directed that institutions failing to provide significant public services or placing a burden on national finances should be either dissolved or privatized immediately.
• Oversight of SME Development: The Prime Minister will personally oversee the Small and Medium Enterprises Development Authority (SMEDA), which will be brought under the direct purview of the Prime Minister’s Office.
• Monitoring and Implementation: The Federal Minister for Finance will lead a committee to monitor the cash balances of various ministries. A detailed plan for implementing these reforms and obtaining approval from the federal cabinet was also instructed.
• Outsourcing Services: The committee recommended outsourcing non-core services and routine tasks such as cleaning and janitorial services to further streamline government operations and reduce in-house staffing requirements.

• Approval and Implementation: The proposed reforms are subject to approval by the federal cabinet. A comprehensive plan for executing these reforms will be prepared and presented for further consideration.

For More Information:

• Prime Minister’s Office
• Ministry of Finance

These measures aim to enhance government efficiency and reduce the fiscal burden on the national treasury, reflecting a commitment to administrative reform and effective governance.