ISLAMABAD – The federal cabinet approved a 15% increase in the pension for the Employees Old Age Benefits Institution (EOBI) during its meeting on Wednesday, chaired by Prime Minister Shehbaz Sharif. The pension hike will be implemented starting January 2025, following a recommendation from the Ministry of Overseas Pakistanis and Human Resource Development.
In addition to the pension increase, the Prime Minister directed the formation of a Cabinet Committee on Institutional Reforms within the EOBI. This committee will explore necessary reforms within the institution and review proposals to extend old age benefits to employees in the informal labor sector, such as domestic workers, farm workers, and others who have been excluded so far.
The cabinet also approved a five-year exemption on the import of essential medicines, including anti-cancer, cardiac, and life-saving drugs, as recommended by the Ministry of National Health. These medicines will be restricted to use in hospitals and relevant health institutions, with their open market sale prohibited. Importation will require prior approval from the licensing authority.
