Nepal, March 15 -- Pakistan has decided to slash the salaries of employees working in state-owned enterprises and other government-backed institutions by 5 to 30 percent as part of a widening austerity drive aimed at tackling the economic fallout from rising fuel prices and broader economic challenges, according to a report by Dawn.

The decision was taken during a high-level meeting chaired by Prime Minister Shehbaz Sharif on Saturday to review the impact of rising petroleum product prices and the implementation of austerity measures introduced by the government amid ongoing geopolitical tensions in the Middle East.

According to Dawn, the salary cuts will apply to employees of the State-Owned Enterprises (SOEs) and autonomous institutio...