Home »Top Stories » Ministries, divisions: Ban imposed on refreshments
The federal government has decided to impose a complete ban on refreshments and stated that no bill will be accepted under entertainment and gift heads after January 2019. Sources in the Finance Ministry said that an office memorandum to this effect was issued by the Finance Division but was not updated on its website. As per office memorandum addressed to all ministries or divisions, the ministries have been asked to further curtail their expenditure as per the government's policy of austerity.

They added that all remaining funds with respect to entertainment allowances of the ministries or divisions were also withdrawn and no money would be given to them in this head.

The Prime Minister had given instructions to ministries to curtail their current expenditures and a briefing was also given to the Prime Minister on government's drive for austerity to the cabinet by Secretary Finance.

Earlier, Finance Ministry through a notification in December 2018 imposed a complete ban on purchase of all types of vehicles by ministries and divisions, and directed them to reduce their expenditure by 10 percent under the government's austerity drive for the current fiscal year.

A circular to this effect issued by Finance Division named Austerity Measures for Fiscal Year 2018-19, states that there will be a complete ban on purchasing all types of vehicles excluding motorcycles both for the current and development expenditure except operational vehicles of law enforcing agencies for which no objection certificate (NOC) from Finance Division would be required. The government also directed ministries and divisions to ensure saving of 10 percent in current expenditure. All principal accounting officers (PAOs) are requested to work out details for 10 percent saving under the heads of operating expenses, physical assets and repairs & maintenance in current expenditure from their allocated budget and the amount so worked be surrendered. Relevant financial advisors/deputy financial advisors will work with the ministries/divisions and will ensure 10 percent savings latest by December 15, 2018.

Copyright Business Recorder, 2019


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