Pakistan Approves 188% Pay Hike for Ministers Amid Economic Crisis, Sparking Tensions with India

By Bureau | 05/05/2025 | Categories: Business, India, Political, World

As India strikes at terror hideouts following Pahalgam attack, Pakistan leaders approve themselves large salary increases in the midst of economic crisis.

Tensions between Pakistan and India have increased after a recent terror attack in Pahalgam, Kashmir, and India has assured strict action against those harboring terrorists. At the same time, the government of Pakistan has faced widespread condemnation after granting huge pay rise to its ministers amid the nation’s still continuing economic issues.

Pakistan President Asif Ali Zardari has approved the “Federal and State Ministers (Salaries, Allowances and Privileges) Amendment Ordinance, 2025,” which raises the monthly remuneration of federal and state ministers by as much as 188%. This major news was reported by Geo News, one of Pakistan’s top news sources.

According to the new ordinance, federal ministers, state ministers, and advisers’ monthly pay has been increased to PKR 519,000. Federal ministers were previously getting PKR 200,000, whereas state ministers used to get PKR 180,000 per month.

The decree follows mere months after a major pay hike for Pakistan’s Parliamentarians. In February 2025, the “MPs Salaries and Allowances Amendment Bill” bumped MPs’ wages by 138%, raising their monthly salary to PKR 519,000 from PKR 218,000. Notably, the bill faced no opposition in Parliament and was backed unanimously on both sides of the aisle. PML-N MP Romina Khurshid Alam tabled the bill, which was approved quickly.

The bill was passed at a January 26 sitting of the Finance Committee of the National Assembly, which was headed by Ayaz Sadiq. The action has been criticized from all quarters since Pakistan is already facing rampant inflation, a depreciating currency, and rising public debt. The clear disparity between the fiscal burden for common citizens and fat salary increases for politicians is stoking public anger.

Experts believe that such actions may further undermine the government’s public image and invite attention from international financial institutions closely monitoring Pakistan’s fiscal conduct.

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