Prime Minister Imran Khan has declared the issue of pension a bigger challenge than the circular debt and pledged to address it in an organized manner.
During a cabinet meeting held in Islamabad yesterday, PM Imran said that the government has to allocate Rs. 470 billion annually for the pensions of former government employees. It is nearly equal to Rs. 500 billion which the government earmarks annually for the salaries of the existing employees.
PM Imran noted that the annual funds spent on pensions have increased more than the funds spent on salaries in many government departments.
He said that past governments were reluctant to take unpopular measures for reviving the economy, adding that the issue will be resolved even if the government has to hire top consultants from all over the world.
We will resolve the pensions issue as the country cannot withstand this situation.
There is a lot needed to be done to uplift the poor segment of the society, the premier said in the cabinet meeting held to mark his second anniversary of assuming the office of PM.
PM Imran added that Pakistan has successfully contained the Coronavirus outbreak, emerged out of the economic crisis, and placated regional tensions after the Pulwama attack in the last 2 years.