PNSC transfers Rs4bn to PM’s austerity fund as govt tightens spending controls

The state-owned Pakistan National Shipping Corporation has transferred Rs4 billion to the Prime Minister’s Austerity Fund 2026 as part of its corporate social responsibility commitment, in compliance with a federal cabinet directive issued last week.

The payment was disclosed to the Pakistan Stock Exchange through a formal notice on Wednesday, confirming that the funds had been released following approval by the company’s board of directors during an emergency meeting held on March 20, 2026.

According to the disclosure, the board considered a communication received from the Ministry of Maritime Affairs referencing a federal cabinet decision dated March 19, 2026, and subsequently authorised the contribution on the grounds that the fund was established for the broader public interest in response to the prevailing national situation.

The company stated that the payment had been executed immediately after board approval, categorising the transfer as a corporate social responsibility expenditure directed toward national stabilisation efforts.

The contribution comes as the government intensifies fiscal restraint measures introduced by Prime Minister Shehbaz Sharif earlier this month to conserve energy and limit public sector spending amid economic uncertainty linked to the ongoing Middle East conflict.

Under the austerity package, government offices have been directed to adopt a four-day workweek, while 50% of public sector employees are required to work remotely. Educational institutions have been ordered to remain closed for two weeks, and official fuel consumption has been sharply curtailed through reductions in vehicle usage.

The prime minister also announced that fuel allowances for official vehicles would be cut by 50%, with 60% of government vehicles to remain off the roads for a two-month period. In addition, the federal cabinet agreed to forgo its salaries for the same duration, while the salaries of parliamentarians would be reduced by half as part of the broader cost-cutting drive.