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In a significant move aimed at streamlining state machinery and reducing administrative expenditures, the government has decided to abolish 28 departments within five key ministries. This decision was taken during a meeting chaired by Prime Minister Shehbaz Sharif, following the recommendations of a specially formed committee.
Major Reforms Across Key Ministries
The ministries affected by these reforms include:
- Kashmir Affairs and Gilgit-Baltistan
- States and Frontier Regions
- Information Technology and Telecommunication
- Industries and Production
- National Health Services
The meeting proposed merging the Ministry of Kashmir Affairs and Gilgit-Baltistan with the States and Frontier Regions. Additionally, it was recommended that 28 organizations under these ministries either be completely shut down, privatized, or transferred to the federating units. There is also a proposal to consolidate 12 institutions within these ministries to optimize efficiency.
Prime Minister Shehbaz Sharif directed that this proposal be submitted to the federal cabinet for approval. He emphasized that the government’s institutional reforms are designed to reduce the burden on the national exchequer and improve public services.
Focus on Efficiency and Cost Reduction
The prime minister stressed the importance of either closing or privatizing state institutions that have not demonstrated adequate performance in terms of public service and have become a burden on the national exchequer. He expressed his intention to personally supervise the Small and Medium Enterprises Development Authority (SMEDA), which will now operate under the PM Office, to ensure that it effectively supports the SME sector.
The reforms committee also suggested the abolition of approximately 150,000 vacant positions and proposed outsourcing non-core functions such as cleaning and janitorial services. This move is expected to gradually eliminate various posts in grades 1 to 16. Furthermore, the committee recommended a complete ban on recruitment for contingency posts and called for the finance ministry to supervise the cash balances of the ministries.
Reforms in the Gemstones Sector
In a separate meeting, Prime Minister Shehbaz Sharif focused on reforms in the gemstones sector to promote the industry and boost exports. He announced that he would personally head the steering committee for the industry and tasked Privatisation Minister Abdul Aleem Khan with overseeing the implementation of these reforms.
The government plans to launch a project in Gilgit-Baltistan to improve mining, chiseling, and value addition in the gemstones industry, with full support from the Centre. The premier noted that the gemstones sector has been neglected for 77 years, leading to wastage of valuable resources through conventional mining methods.
An action plan of international standards is to be formulated within a month, with measures taken to implement these reforms. The meeting highlighted that 80% of Pakistan’s gemstone exports consist of raw materials, and improving the industry could significantly boost exports and create jobs.
Praise for Government’s Efforts
During a meeting with Aga Khan Foundation Director Sultan Ali Alana, Prime Minister Shehbaz Sharif received praise for his business-friendly policies and efforts to secure economic stability in the country. The Aga Khan Foundation was also commended for its contributions to public welfare in Pakistan, including its support in the construction of the Jinnah Medical Complex.
