• Reforms committee suggests drastic cuts, mergers in five ministries
• SME regulator to be brought under PM Office on Shehbaz’s orders
• Premier tasks minister with implementing reforms in gemstone sector

ISLAMABAD: As part of efforts to streamline state machinery and reduce administrative expenditures, the government has decided to abolish 28 departments in five ministries.

The decision was taken at a meeting presided over by Prime Minister Shehbaz Sharif on Friday in light of the recommendations of a committee he had formed.

The meeting was briefed on reforms in five ministries — Kashmir Affairs and Gilgit-Baltistan, States and Frontier Regions, Information Tech­nology and Telecommuni­cation, Indus­tries and Pro­duction and National Health Services.

“The meeting proposed merging the Ministry of Kashmir Affairs and Gilgit-Baltistan with the States and Frontier Regions. It was recommended that 28 organisations under these five ministries should either be completely shut down, privatised or transferred to the federating units,” said a press release issued by the Prime Minister Office. There was also a proposal to consolidate 12 institutions within these five ministries.

The prime minister directed that the proposal be submitted to the federal cabinet for approval and a comprehensive plan be prepared and presented for its implementation. He said the government’s institutional reforms were aimed at reducing burden on the national exchequer and improving the services being provided to the public.

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“The state institutions which have not shown adequate performance in terms of public service and are a burden on the national exchequer should either be instantly closed or steps should be taken for their immediate privatisation,” he added.

The premier said he would personally supervise the Small and Medium Enterprises Develop­ment Authority, meant to encourage businesses in the SME sector, and directed that the authority be brought under the PM Office.

The reforms committee suggested abolishing around 150,000 vacant positions and proposed outsourcing non-core functions such as cleaning and janitorial services, leading to the gradual phased elimination of various posts in grades 1 to 16.

The committee also recommended a complete ban on recruitment on contingency posts and supervision of the finance ministry over cash balances of the ministries.

Gemstones sector

Chairing a separate meeting, PM Shehbaz decided to carry out reforms in the gemstones sector to promote the industry and increase its exports. He said he would personally head the steering committee to promote the industry and tasked Privatisation Minister Abdul Aleem Khan with ensuring the implementation of reforms in the sector.

PM Shehbaz said the government would launch a project in Gilgit-Baltistan to elevate the standards of mining, chiseling and value addition of the gemstones industry, assuring the GB government of Centre’s support in this regard.

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“Unfortunately, the gemstone sector has been neglected for 77 years and the precious assets are being wasted through conventional mining methods.”

The premier directed the authorities concerned to formulate an action plan of international standard within a month and take measures for its implementation. He also sought a report on the practical measures for reforms in the gemstone sector and their outcome.

The meeting was informed that a total of 178 licences had so far been issued for mining of gemstones. It was told that 80 per cent of Pakistan’s gemstone exports consisted of raw materials and the promotion of the industry would help boost the country’s exports and create jobs.

The prime minister also called for a comprehensive action plan for the skill training of Pakistani manpower in modern mining, polishing, chiseling and value addition.

The meeting was told that GB, Khyber Pakhtunkhwa and Azad Jammu and Kashmir had huge reserves of gemstones but conventional methods were being used there, causing the wastage of the asset.

Proposals were put forward for reforms in the gemstones sector, besides the development of a gemstones cluster in GB. The PM tasked the privatisation minister with implementing the proposals and launch a pilot project in GB in a week.

Meeting

Aga Khan Foundation Director Sultan Ali Alana on Friday praised PM Shehbaz’s business-friendly policies for boosting local businesses and attracting foreign investment. During a meeting, he also praised the prime minister for his efforts in securing economic stability in the country, according to a PM Office press release.

PM Shehbaz commended the Aga Khan Foundation for its contributions to public welfare in Pakistan and its support and consultancy services in the construction of Jinnah Medical Complex.

Published in Dawn, August 17th, 2024