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| Ministry proposes crucial steps to save money |
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Saturday, November 07, 2009
By Mehtab Haider
ISLAMABAD: The Ministry of Finance has proposed the federal cabinet some crucial measures including reducing number of ministries/divisions up to only 30 to 40, imposing ban on purchasing bulletproof vehicles, reducing motorcade for president, prime minister, federal ministers and chief ministers and presenting supplementary grants for ministries before the Parliament on quarterly basis to ensure strict check on expenditures under the austerity drive.
“By implementing some crucial measures, the Finance Ministry has estimated to save Rs300 billion over the next two to three years,” a senior official at ministry told The News here on Friday.
The federal cabinet was also proposed that a company be established for using special planes and helicopters meant for president, prime minister and other ruling elites on commercial basis when they are not being used.
The multilateral as well as bilateral creditors also asked Pakistan to reduce the number of ministries/divisions by merging or abolishing some of them. The Finance Ministry, the sources said, also recommended imposing ban on unnecessary foreign visits.
During the last cabinet meeting held with Prime Minister Syed Yusuf Raza Gilani in the chair, the austerity measures proposed by the Finance Ministry were not taken up by the meeting which offended Finance Minister Shaukat Tarin who, according to one federal minister, also complained about postponing this important matter till the next cabinet meeting.
The Finance Ministry, the sources said, also proposed monetizing perks and privileges being enjoyed by ministers as well as bureaucrats in terms of getting vehicles, petrol and housing facility. “The Finance Ministry has proposed the federal cabinet to grant permission to give cash money instead of these facilities,” said the official sources and added that the monetization of perks and privileges would plug rampant leakages of billions of rupees going into drain. It can be easily assumed that the government spends Rs40 to 50 billion on usage of petrol which is basically abused rather than misused in most of the cases.
“We also propose the federal cabinet to cut down entertainment allowance by 50 percent,” said the official sources. The Finance Ministry also proposed the federal cabinet to impose ban on importing vehicles for official use. There are certain factories exist in this country which can convert vehicles into bullet proof by spending less money and such vehicles can be got with only Rs3.5 to 4 million instead of spending Rs20 to 30 million.
The motorcade for the president and prime minister was recommended to be cut down to only 7 vehicles. The motorcade for chief ministers was also proposed to be reduced only 3 to 4 vehicles whereas the federal ministers were asked to allow usage of only two official vehicles. “The cabinet was also proposed to impose ban on usage of corporations’ vehicles as at the moment all these were being misused by all ministries/division.
Federal Finance Minister Shaukat Tarin, when contacted by The News, said on Friday that the committee constituted by the prime minister on austerity measures proposed some crucial steps which were surfaced after holding survey from the masses to get their input as well in a bid to reduce expenditures. “If these measures are approved and implemented in its true letter and spirit, we can easily save Rs200 to 300 billion over the next two to three years,” he concluded.
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ISSN 1563-9479 
