The federal government has introduced a fresh set of austerity measures aimed at reducing fuel consumption and controlling public spending amid concerns over the regional situation and its possible impact on petroleum supplies.
Under a notification issued by the Cabinet Division, all government departments have been directed to reduce fuel consumption by official vehicles by 50 percent.
Meanwhile, Prime Minister Shehbaz Sharif has left for the United Kingdom, where he is expected to stay for a few days before travelling to the United States.
The government has also ordered a 5 percent cut in budgetary expenditures. However, salaries and allowances of government employees have been excluded from the reduction.
Also read: PM Shehbaz to Chair NEC Meeting on Budget 2026–27, Rs4.5tr Development Plan
Federal government departments have also been barred from purchasing new vehicles. The restriction, however, will not apply to vehicles required for development projects.
In another cost-cutting measure, the government has imposed a three-month ban on foreign visits by officials.
The Cabinet Division said exceptions would be allowed in unavoidable circumstances. Federal ministers and government officers permitted to travel abroad will have to travel in economy class.
The notification also states that the June 19 directive regarding the closure of shops and businesses will continue to remain in force.
The latest measures come as the government seeks to limit fuel consumption and contain non-essential expenditure while monitoring the potential effects of regional developments on petroleum supplies.
