PESHAWAR – Pakistan’s economy is currently under stress, and now the Khyber Pakhtunkhwa (KP) government is considering to impose a financial emergency in the region.
The recent times saw political turmoil, and on the economic front, the whole country especially KP has been dealing with worst inflation, and it’s been hard for the government to pay public servants.
Amid the deteriorating situation, top officials of the region and members of Finance Department considered extreme steps to avert default. In the meeting led by the interim chief minister, officials proposed a rollback of 35pc salary increase given to government employees.
The second option was a 25 cut in the salaries to save billions.
Furthermore, KP officials are also exploring the option of cutting salaries to control the situation.
It was learnt that officials are considering ending executive allowance, health professional allowance, and other similar incentives for government employees.
KP increases salaries and pensions in budget for fiscal year 2023-24
