700 posts abolished by Punjab government

Punjab government decided to abolish almost 700 posts in police, provincial administration.

LAHORE: Punjab government has decided to abolish almost 700 posts in police and provincial administration, reports said on Friday.

Provincial Finance Minister Tanvir Ashraf Kaira said the purpose of taking this step is to reduce unproductive expenditures.

Talking to the media in Lahore,  Kaira said that the federal government has released an amount of 100 billion rupees to strengthen Punjab's economy.

Earlier, the federal government had paid 51 billion rupees as overdraft to Punjab and 15 billion rupees have been returned so far.

He said that the provincial government has formed a surplus pool comprising of an additional officer who would be deployed in various departments as per requirement.

The provincial government has been availing the overdraft facility constantly.

By the end of the first quarter of the financial year 2009-10, the overdraft liability of Punjab government had touched Rs83 billion – the highest ever. The position improved last October when the federal government allowed the province to convert Rs50.9 billion overdraft into a loan.

The official said that normally the overdraft should be no more than six-month’s current expenditures (salaries, pensions). Since the Punjab government’s expenditure has increased with the raise in the salaries and pensions of government employees, therefore, the overdraft limit should be revised, he added.