ISLAMABAD: Federal Minister for Development and Planning Ahsan Iqbal has proposed tapping into the expertise of retired officers to bolster national institutions, as Pakistan confronts a massive annual pension payout of Rs. 140 billion for two million civil servants. Chairing a high-level Civil Service Reforms Committee meeting, Iqbal emphasized modernizing recruitment criteria and restructuring pension systems to ease the fiscal strain.
The committee reviewed proposals to align government hiring with contemporary needs while enhancing financial incentives for employees. Briefings from the Cabinet Division highlighted reforms in the new fiscal year’s budget aimed at “balancing expenditure” through pension adjustments. The Finance and Economic Affairs Divisions submitted recommendations, with Iqbal directing officials to compile key suggestions into a summary for the Prime Minister’s review.
The move signals urgent efforts to curb unsustainable pension costs, which threaten national fiscal stability.
