PM Shehbaz Sharif Announces Austerity Measures, Says Fuel Price Hike Was a Difficult Decision

Shehbaz Sharif, Prime Minister of Pakistan, has announced a series of austerity measures to address the country’s economic challenges amid rising global oil prices and tensions in the region.

In a televised address to the nation, the prime minister said the government had made **difficult decisions**, including increasing petroleum prices. He stated that the decision was taken “with a heavy heart,” explaining that while economic realities left the government with no other option, there were concerns about the additional burden on the poor.

Shehbaz Sharif noted that the price of crude oil in the international market had **surged from around $60 to over $100 per barrel**, adding that Pakistan’s economy heavily depends on oil and gas imports from Gulf countries.

During his speech, the prime minister also condemned recent attacks in the region, including Israeli strikes on Iran, and expressed condolences over the reported martyrdom of Ali Khamenei and his family. He also condemned attacks on Gulf countries such as Saudi Arabia, Kuwait, Qatar and Bahrain, warning that such incidents threaten regional peace. He said Pakistan stands firmly with these nations during this difficult time.

To reduce government spending and conserve fuel, the prime minister announced that **fuel allocation for government vehicles will be reduced by 50 percent for the next two months**, while **60 percent of government vehicles will remain off the road**. Ambulances will be exempt from these restrictions.

He further announced that **federal ministers, advisers and special assistants will voluntarily give up two months of their salaries and allowances**, while **members of parliament will face a 25 percent salary cut**. Additionally, **non-salary expenditures in government departments will be reduced by 20 percent**, and the purchase of new office items has been banned.

Officials in **Grade 20 and above** will also contribute by **deducting two days’ salary**, which will be used for public relief efforts.

The prime minister also imposed a **ban on foreign visits by federal ministers, advisers, officials and provincial governors**, and prohibited **official dinners and iftar parties**. Government seminars will now be held at official venues instead of hotels to reduce costs.

Shehbaz Sharif also announced administrative measures aimed at saving fuel and energy. Under the plan, **only 50 percent of staff will work in both public and private sectors except for essential services**, while **government offices will operate four days a week with an additional weekly holiday**. Banks will not be affected by this policy.

The prime minister further announced **two weeks of holidays for schools across the country**, while educational institutions will conduct **online classes during the period**. 📉⛽