Budget 2024-25: Plans for big cuts including pensions, Benazir Income Support – Business & Economy

In the new financial year 2024-25, the federal government has started preparing for large-scale cuts in various areas, including the pension of government employees.

Cabinet Division sources told Business Recorder that a 7-member committee set up by the Prime Minister has submitted its recommendations, including proposals to share the cost of the Benazir Income Program with the provinces and reduce the federal share in the development projects of the provinces. are given

The committee has also suggested that no government university should be opened under HEC in future, while the provinces should also contribute to the expenses of other universities.

Regarding pension, it has been said that in all other sectors except the army, civil armed forces and police, July 2024 new recruitments should be made under the contributory pension system.

It should be noted that international financial institutions are urging Pakistan to abolish the pension system, which is a huge burden on the national exchequer.

Committee member Dr. Qaiser Bengali has also suggested the abolition of several posts from Grade 17 to Grade 22. The committee meetings also considered the abolition of posts from Grade 1 to Grade 16. Members were of the opinion that eliminating the posts up to grade 16 would save more.

The committee has also agreed to develop a framework for government-owned enterprises.

The seven-member committee under the leadership of Deputy Chairman Planning Commission says that the implementation of these recommendations will save the national treasury 300 billion rupees.