Government Announced New Pension Policy: Annual Increase Set at 80% of Average Inflation Over Two Years-Notification

Government of Pakistan
Finance Division
(Regulations Wing)

Subject:-       ANNUAL INCREASE IN PENSION

                    Reference subject noted above.

2.          On the recommendations of Pay and Pension Commission-2020, it has been decided that henceforth annual increase in pension shall be granted at 80% of average inflation rate for the last two years. For this purpose, the Year-on-Year Consumer Price Index (CPI) as announced by State Bank of Pakistan shall be used as reference.

3.         Existing instructions on the subject shall stand amended to the extent of above with immediate effect.

Deputy Secretary(R-III)

Finance Division’s U.No. 9(3)R-6/2024-264                                                                     dated 10.09. 2024