Since the establishment of the federal government, efforts have been made to control unnecessary expenditures. The IMF has also provided recommendations on this matter. Recently, the Ministry of Finance issued a notification outlining new measures to control government spending. According to this notification, the federal government has imposed a ban on the purchase of new vehicles and other equipment, as well as on government-funded overseas medical treatments and unnecessary trips.
The notification states that these restrictions are part of the government’s austerity policy. However, exemptions apply to the purchase of ambulances, firefighting vehicles, school buses, solid waste vehicles, and motorcycles. Equipment used in hospitals, laboratories, agriculture, mining, and educational institutions is also exempt from this restriction. The notification further states that there will be a ban on creating new posts and temporary positions, and positions that have been vacant for three years will be abolished. However, this ban does not apply to the purchase of equipment and temporary positions for ongoing PSDP projects.
The measures described in the federal Ministry of Finance’s notification are a step in the right direction, but more needs to be done. Governments often impose various restrictions while leaving many loopholes, which leads to continued misuse of public funds in Pakistan.
The core issue is whether the exemptions listed in the Ministry of Finance’s notification are based on actual needs and demands. How will these needs be verified, and how can we ensure that there is no manipulation when imports are allowed and purchased from abroad?
Pakistan needs to review not only unnecessary expenditures but also departments that, while legally existing, are inactive or unnecessary. For example, the functionality of municipal institutions’ structural and administrative networks in large cities needs to be assessed to ensure their employees are performing their duties. Many authorities have been established to handle various municipal tasks, such as solid waste management, street cleaning, parking systems, parks, and afforestation, which were previously managed by municipal corporations.
Municipal corporations have become like patients on life support. Additionally, there are several provincial and federal ministries that seem to exist primarily to accommodate bureaucrats, with political appointments being made to these ministries. For instance, Punjab has a separate minister for elementary health, while a separate health ministry oversees major hospitals and other health-related tasks.
Similar situations occur in the education sector. In Punjab, there is a Department of Transport, but surprisingly, there are no government transport vehicles. What the officers and employees of the Transport Department do is unclear. Similarly, in Islamabad, there are municipal institutions, but land acquisition and residential schemes are managed by the CDA, which operates under the Ministry of Interior, not the Ministry of Housing.
The functions of municipal institutions in Islamabad are also questionable. The former combined Ministry of Agriculture and Food is now split into separate ministries, leading to a greater need for officers and staff. For example, the Department of Archaeology has created a separate institution called the Walled City of Lahore Authority, which performs tasks that the Department of Archaeology could handle. Evaluating the performance of the Department of Archaeology involves visiting historical sites.
There is also a Ministry of Population Welfare, which mainly prints brochures and booklets. A minister and officials are appointed for this purpose. Similarly, the provincial Livestock Department mainly produces brochures. The performance of the Forest Department is evidenced by the declining forest area.
District-level game wardens and wildlife protection departments exist, but the actual protection of wildlife is questionable. There is also a Ministry of Tourism, though the level of tourism in Pakistan does not warrant a separate department. The National Assembly, Senate, and provincial assemblies have numerous employees, with a large number of protocol officers.
In addition, countless other staff members receive salaries from the government treasury. They work under the supervision of the speakers of the assemblies. Counting the staff in the President’s House, Prime Minister’s House, governor houses, chief ministers’ residences, state guest houses, and Senate officers and employees shows that the number is also in the thousands.
The functions of these employees are unknown to the general public. There is never any discussion in the National Assembly, Senate, or provincial assemblies about their expenditures. This is just the tip of the iceberg. The misuse of public funds continues despite previous governments issuing similar announcements and notifications, with expenditures continuing to rise.
Until elected representatives fulfill their duty of representation, there is little hope for reducing unnecessary expenditures. When elected members of the assembly are only focused on increasing their privileges, salaries, and allowances, how can bureaucracy, judges, and military officers be expected to reduce their own benefits and salaries?
Pakistan’s Bureau of Statistics estimates inflation weekly and produces biannual and annual reports. According to its reports, inflation and the cost of living have decreased, but the recent approval of a nearly two-rupee per unit increase in electricity rates shows otherwise. It is evident that the prices of electricity, gas, and other energy sources are already quite high in Pakistan.
In a recent Senate session, the Ministry of Overseas Pakistanis reported that from 2019 to August 2024, approximately 3.3 million Pakistanis were sent abroad, with 3,000 scholars going for PhD studies. Of these, 1,126 scholars have completed their education, 1,810 are still studying, and 65 scholars have not returned after completing their studies. The amount collected from these non-returning scholars as a penalty is 113.2 million rupees. This is an official statistic. It is often observed that government officials take extended vacations abroad, with their children already studying in developed countries. These officials return after long stays, often with green cards, permanent residency, or multiple visas, and resume their duties in Pakistan.
There are thousands, if not millions, of such examples in Pakistan. Bureaucrats, judges, and officers from various state and constitutional institutions have families living in the US, Canada, Australia, the UK, Scotland, Germany, Spain, and France, yet they enjoy ruling in Pakistan. Until this practice is addressed, both politics and the economy in Pakistan will remain problematic.