Cash-strapped Pakistan increases house rent allowance for govt employees by 45%

The federal government has increased the house rent allowance for its employees in grades 1 to 22 by 45 percent in six major cities, including Islamabad, Rawalpindi, Karachi, Lahore, Quetta, and Peshawar.

The decision, made by the Ministry of Housing and Works, aims to provide relief to government employees struggling with rising living costs.

According to the notification issued by the Ministry, the revised house rent allowance rates vary by city and grade. 

For employees in Grade 22, the rent ceiling in Islamabad has been increased to Rs142,743 per month, up from Rs98,444, while in other cities, it has been raised to Rs125,989, up from Rs89,230.

Grade 21 government employees will now receive Rs119,278 per month in Islamabad, up from Rs82,261, and Rs98,378 per month in other cities, up from Rs71,107. 

The rental ceiling for grade 20 employees has been increased to Rs99,615 per month for the federal capital and Rs82,696 per month for all other cities.

Grade 19 officers in Islamabad will see a hike in rental allowance to Rs79,320 per month, while other cities will receive Rs65,542 per month.

The rent limit for Grade 17 and 18 employees has been fixed at Rs59,669 in Islamabad and Rs49,808 in other cities.

For lower-grade employees, the revised rates are as follows: Grade 14-16 employees will receive Rs45,073 per month in Islamabad and Rs 37,665 per month in other cities. 

Grade 11-13 employees will collect Rs35,878 per month in Islamabad and Rs30,815 per month in other cities.

Grade 7-10 employees will receive Rs23,784 per month in Islamabad and Rs 20,112 per month in other cities.

Grade 3-6 employees will be given Rs15,921 per month in Islamabad and Rs13,230 per month in other cities, while Grade 1-2 employees will obtain Rs10,192 per month in the federal capital and Rs9,590 per month in other cities.

The increase is expected to benefit thousands of government employees across the country.