Finance Minister Muhammad Aurangzeb announces abolition of vacant posts and outsourcing of non-core services to enhance efficiency.
Finance Minister Muhammad Aurangzeb has announced the removal of 150,000 vacant government positions as part of a broader cost-cutting strategy. The move aims to reduce unnecessary expenditures and improve administrative efficiency.
Aurangzeb stated that the government identified these positions as redundant, with no immediate hiring requirements. These posts accounted for a significant portion of federal expenses without serving any purpose. The decision will enable the government to redirect funds toward essential areas such as healthcare, education, and infrastructure.
The federal government has also initiated a comprehensive restructuring plan. This includes merging departments and reducing overlapping roles to create a more streamlined administrative framework. So far, 80 government departments have been merged into 40. For instance, the Ministries of Kashmir Affairs and Gilgit-Baltistan have been combined with the SAFRON Ministry, while the CAD Division has been dissolved entirely.
Aurangzeb highlighted that outsourcing non-core services, such as cleaning and maintenance, will further cut costs. Private companies will take over these roles, allowing government departments to focus on critical functions. This approach aligns with the government’s goal to modernize and enhance efficiency across all sectors.
The finance minister underscored the importance of these reforms in addressing Pakistan’s fiscal challenges. After avoiding default in 2023 with the help of a $7 billion IMF loan, the government has been working to stabilize the economy. These measures are part of a long-term strategy to strengthen Pakistan’s financial position and attract investment.
The government expects the restructuring process to conclude by mid-2025. Aurangzeb assured that the plan will not disrupt public services but will instead lead to better resource allocation and improved governance. The restructuring efforts reflect Pakistan’s commitment to building a more sustainable and efficient public sector.
