The Federal Board of Revenue (FBR) has imposed a ban on the purchase of additional vehicles after recently adding more than 1,000 new Honda City cars to its official fleet for revenue officers. The decision comes as the government begins implementing strict austerity measures.
Officials said the expansion of the vehicle fleet did not lead to significant improvements in revenue collection, prompting the need for tighter control over government spending.
The move is part of a broader austerity plan directed by Prime Minister Shehbaz Sharif to reduce public sector expenses and conserve energy amid current economic challenges and regional tensions.
Under the new directives, around 60 percent of official vehicles will remain parked, while fuel spending will be reduced by 50 percent. In addition, up to half of the workforce will work from home to lower operational costs.
For employees in grades BS-1 to BS-16, departments will introduce a staff rotation system. Senior officers in BS-20 and above have been requested to voluntarily give up two days of salary as part of the austerity initiative.
The government has also reduced the non-employee related expenditure (Non-ERE) budget by 20 percent.
To monitor the implementation of these measures, an oversight committee has been established, and weekly progress reports will be required. All FBR offices across the country have been directed to strictly follow the new cost-cutting instructions.
