The federal government has decided to continue its austerity measures during the current fiscal year (FY27) as part of efforts to curb public spending and strengthen fiscal discipline.
According to sources, the federal cabinet has approved the extension of the cost-cutting measures, and the Cabinet Division has forwarded the decision to the Ministry of Finance for implementation.
Vacant posts to be abolished
Under the approved measures, all federal government posts that have remained vacant for the past three years will be abolished.
The government will also maintain its ban on the creation of new posts throughout FY27 in an effort to control expenditure.
Ban on vehicle purchases and procurement
The austerity package also extends the prohibition on purchasing all types of official vehicles during the current fiscal year.
In addition, the existing ban on procuring machinery and equipment for government departments will remain in effect.
Restrictions on foreign travel and medical treatment
The government has also decided to continue restrictions on overseas medical treatment at public expense and non-essential foreign travel by government officials.
The measures are aimed at reducing unnecessary government spending while improving financial management.
The Ministry of Finance is expected to issue a formal notification detailing the extended austerity measures in the coming days.
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