Information Minister Ataullah Tarar stated on Monday that the Pakistani government is considering reinstating austerity measures initially implemented on March 9 due to rising tensions between the US and Iran. These measures included cutting fuel allowances for official vehicles by half, reducing salaries for lawmakers, and initiating a partial work-from-home policy in the public sector. The decision to revive these measures will be made soon amid concerns over disruptions to oil supply routes through the Strait of Hormuz and Bab al-Mandab, leading to increased fuel prices. Presently, petrol costs Rs375.82 per litre and high-speed diesel (HSD) is priced at Rs403.32 per litre.
Written by the local model on 2026-09-14,
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Information Minister Ataullah Tarar announced on Monday that the Pakistani government is considering reviving austerity measures previously implemented due to tensions between the US and Iran. These measures include cutting fuel allowances for official vehicles by 50%, salary reductions for lawmakers, and partial work-from-home policies in the public sector. Tarar made this statement while briefing alongside Information Technology Minister Shaza Fatima Khawaja and Petroleum Minister Ali Pervaiz Malik on a new fuel relief scheme launched amid rising oil prices. The prime minister had directed Deputy Prime Minister Ishaq Dar to ensure that transport fares do not increase following the launch of the scheme, which provides Rs100 per litre in relief for users of motorcycles, rickshaws, Qingqis, and vehicles up to 800cc. Tarar noted that some austerity measures are still in effect, such as market timings, and a decision on whether to revive others will be made soon.
Written for “Economic Austerity Measures Revival” on 2026-09-14,
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Information Minister Ataullah Tarar said on Monday that the government was considering reviving austerity measures introduced during a previous fuel conservation drive amid renewed hostilities in the Middle East.
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government → say → East
The austerity measures were announced on March 9 to mitigate the impact of the ongoing US-Iran war.
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measures → announce → war
These included a 50 per cent cut in fuel allowances for official vehicles, salary cuts for lawmakers, and a partial work-from-home policy in the public sector.
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These → include → sector
Tarar made the remarks while addressing a press briefing alongside Information Technology Minister Shaza Fatima Khawaja and Petroleum Minister Ali Pervaiz Malik on the government’s fuel relief scheme, which was launched on Sunday amid rising oil prices.
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which → make → prices
In response to a question, the information minister said Prime Minister Shehbaz Sharif had directed consultations on the austerity measures, some of which, he noted, “are still in force, such as market timings”.
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he → say → timings
Tarar added that “austerity measures previously taken [..] were being reviewed to assess which of the previous measures need to be revived in the present situation”.
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which → add → situation
He added that a decision will be taken soon.
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decision → add → ?
The government ended the measures on June 19, except for market timings.
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government → end → timings
However, in July, it emerged that it was considering shifting back to fuel conservation and austerity measures.
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it → emerge → conservation
The move comes amid renewed hostilities in the Middle East, which have disrupted major oil supply routes and led to a rise in fuel prices.
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which → come → prices
In addition to the crisis in the Strait of Hormuz stemming from the US-Iran war, trade through Bab al-Mandab — which has become a vital route for Saudi oil exports in recent months — is also facing a growing threat from Houthi rebels.
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which → stem → rebels
At present, the price of petrol stands at Rs375.82 per litre, while high-speed diesel (HSD) costs Rs403.32 per litre.
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diesel → stand → litre
Relief scheme to cost around Rs25bn monthly
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scheme → cost → Rs25bn
Speaking about the relief scheme, under which users of motorcycles, rickshaws, Qingqis and vehicles up to 800cc will receive relief of Rs100 per litre, Tarar said the prime minister had directed Deputy Prime Minister and Foreign Minister Ishaq Dar to ensure that transport fares did not rise following the launch of the scheme.
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fares → speak → scheme
Tarar also said the steering committee for the scheme would include the chief secretaries of all four provinces, Azad Jammu and Kashmir (AJK) and Gilgit-Baltistan.
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committee → say → provinces
In his address, Tarar said a war room and a call centre had been established under the scheme and that “constant monitoring is going on”.
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monitoring → say → scheme
The petroleum minister, addressing the press briefing, said efforts were underway to ensure fuel availability.
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efforts → address → availability
“Today, I met with private oil refineries and discussed with them for one hour how to ensure that in September or October and even if any issues emerge in the Bab al-Mandab, how we can ensure fuel availability and distribute the burden evenly,” he said.
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he → meet → burden
He said the government’s takeaway from the present situation should be that “it should be prepared to deal with such a crisis in the future”.
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it → say → future
On the reduction in the petroleum levy, the minister referred to the relief scheme and said the government was taking steps to ease the fuel burden “despite buying fuel at twice the cost”.
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government → refer → cost
Malik said the premier was personally supervising work on “strategic petroleum reserves, bonded schemes”.
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premier → say → reserves
He further said the targeted relief was estimated to cost roughly Rs25 billion a month, adding that “the federal government and the Ministry of Finance have given assurances”.
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government → say → assurances