Government Enforces Strict Austerity Drive Amid Petroleum Crisis
Sajid Ali | Published September 17, 2026 | 05:36 PM
The federal government has introduced a nationwide strict austerity drive to tackle the economic fallout of surging petroleum product prices.
According to the notification, the emergency plan will be in force for an initial period of three months. It aims to significantly cut down electricity, fuel, and government expenditure by limiting commercial operating hours and slashing several official perks.
All shops, markets, and shopping malls across the country will close at 9 p.m. While wedding halls and other commercial activities must wind up by 10 p.m.
The federal government’s notification instructs hotels, restaurants, and cafes to close by 11 p.m., with exceptions for takeaway and home-delivery services. A single dish will be permitted at wedding ceremonies to curb unnecessary expenses.
Pharmacies, medical labs, clinics, hospitals, tandoors, and petrol pumps are exempted from these restrictions for public convenience.
The government has also made substantial cuts to official expenditure:
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50% reduction in fuel allocation for official vehicles and grounding of 50% of government vehicles. However, exemptions are provided for armed forces, civil armed forces, law-enforcement agencies, essential services, and operational vehicles of the Federal Board of Revenue.
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5% reduction in the non-ERE budget for fiscal year 2026/27.
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Complete ban on purchasing new government vehicles, IT equipment, and other durable goods.
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Prohibition on all official foreign trips for the next three months, with exceptions only for unavoidable circumstances, where ministers, advisers, and officials traveling abroad must fly economy class.
Government meetings are to be conducted virtually whenever possible. Seminars, training programs, conferences, and dinners funded by the government are completely prohibited, except for projects or dinners hosted for foreign delegations. Only government auditoriums and committee rooms can be used for unavoidable official events.