5th Column

Government Rationalization and Cost-Cutting Measures: A Strategic Approach to Economic Stability

 

The federal government has announced the elimination of 150,000 positions across various ministries as part of its cost-cutting measures, Finance Minister Muhammad Aurangzeb revealed during a press briefing in Islamabad on Tuesday.

Aurangzeb noted that 60% of these positions had remained unfilled and would not be opened for recruitment in the future. This decision aligns with the government’s broader efforts to reduce expenditures and ensure sustainable economic development.

He also emphasized the importance of ongoing structural reforms in the tax system and the increasing role of the private sector in fostering economic growth.

As part of this cost rationalization initiative, the number of subordinate bodies under federal ministries has been cut from 80 to 40, with several entities being merged and two ministries slated for consolidation.

Aurangzeb outlined the next phase of the reform agenda, which involves abolishing 25 of the 60 subordinate organizations under four ministries: Science and Technology, Commerce, Housing and Works, and National Food Security. Additionally, 20 entities will be downsized, and nine will be merged. Outsourcing of service-related roles is also being introduced to enhance operational efficiency.

Calling this initiative a critical step toward government rightsizing, Aurangzeb expressed confidence that the economy is on a positive trajectory and the administration is progressing toward its objectives.

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