The Finance Department of Khyber Pakhtunkhwa (KP) has issued a circular directing government departments not to exceed their approved budgets. The move aims to enforce financial discipline and control government expenditure.
Departments have been told not to take on financial liabilities before allocated funds are available. Requests for additional grants without solid justification will not be entertained, and the department has ordered all government departments to strictly implement austerity measures.
Savings and reallocation steps for departments
Departments must first use their available resources before seeking more money. They have also been asked to defer unnecessary expenses, ensure savings and reassess their spending priorities.
Autonomous institutions have been advised to meet their needs from their own resources wherever possible. Additional funds will be considered only for genuine and unavoidable needs, and departments must submit details of proposed spending, available budgets, potential savings and alternative financial resources.
