Pakistan Implements Austerity Measures, Announces Friday Holiday

Islamabad, Pakistan – Prime Minister Shehbaz Sharif has directed all federal ministries and divisions to implement strict austerity and energy conservation measures amid a challenging regional and global economic climate. The government also announced that a weekly additional holiday will be observed on Fridays.

Austerity Measures and Economic Stability

The Prime Minister emphasized the government’s commitment to stabilizing the economy despite difficult global conditions. These measures are intended to reduce government spending and promote efficient resource utilization. A special committee, headed by Deputy Prime Minister and Foreign Minister Ishaq Dar, has been formed to oversee the implementation of these policies and will provide daily progress reports.

Third-Party Audit and Enforcement

To ensure effectiveness, a third-party audit will be conducted to assess the impact of the austerity measures. All federal ministries and divisions are instructed to fully enforce policies related to simplicity, austerity, and energy conservation. Ministries are also required to submit photographs of vehicles withdrawn from use as part of the austerity policy to the Cabinet Division.

Work-From-Home System Review

In addition to spending cuts, the government is focusing on optimizing workforce management. Each ministry will submit a report to the Prime Minister’s Office outlining measures taken to enhance the effectiveness of the work-from-home system.

Recent Developments in Pakistan

These austerity measures reach amidst a period of instability in Pakistan. In February 2026, a suicide bombing at an Imambargah mosque in Islamabad killed 31 people and injured over 160 The Daily Jagran. In August 2025, Prime Minister Shehbaz Sharif inaugurated a special economic zone (SEZ) in Islamabad established by a Chinese textile group, projected to generate $400 million in exports Pakistan Today. Sharif also warned Afghanistan against aggressive ambitions MSN.