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IMF Pressures Government to Terminate Petrol Quotas for Ministers

IMF Pressures Government to Terminate Petrol Quotas for Ministers

The federal government is contemplating a proposal to trim down petrol expenses for ministers and other cabinet members in the upcoming financial year’s budget, according to high-level sources. This move comes in response to pressure from the International Monetary Fund (IMF), prompting the government to devise various cost-cutting measures.

Sources reveal that the government is inclined towards reducing petrol-related expenditures for federal ministers and cabinet members in the next fiscal year. Currently, the government allocates an average of Rs. 2-5.3 million monthly for petrol expenses of cabinet members.

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Under the existing arrangement, cabinet members are entitled to 350 liters of petrol per month for vehicles up to 1500 cc, while those with larger vehicles like Land Cruisers, BMWs, and Jeeps receive 900 liters of petrol per month. Previously, these allowances were higher, with cabinet members receiving 580 liters per month for vehicles up to 1500 cc and 1500 liters per month for larger vehicles.

On average, a minister spends approximately Rs. 98,000 per month on petrol for a small car of 1500 cc. Currently, there are a total of 21 federal ministers, state ministers, special assistants, and advisors, including 18 federal ministers, one advisor to the prime minister, one special assistant to the prime minister, and one state minister.

It’s worth noting that the IMF has urged the government to reduce overall expenditure, prompting considerations for trimming down petrol expenses among other measures.