ISLAMABAD – June 10, 2025: In a significant policy shift, Pakistan’s Finance Minister, Muhammad Aurangzeb, announced during the latest budget speech that the pension benefits for spouses of deceased government employees will now be limited to a maximum duration of 10 years following the employee’s passing.
This new measure marks a departure from the previous policy, which entitled widows and widowers of government employees to lifelong pension benefits. According to the Finance Minister, the primary objective behind this change is to curtail the government’s long-term pension liabilities, which have been a growing concern.
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Aurangzeb emphasized that this reform is an integral component of broader fiscal initiatives aimed at streamlining public expenditure and ensuring the long-term sustainability and viability of the national pension system. The move is expected to have substantial implications for future beneficiaries and is part of the government’s efforts to manage its financial commitments more effectively.
