Pakistan calls off military parade amid financial crisis, austerity drive

Pakistani Prime Minister Shehbaz Sharif

• Pakistan cancels annual military parade amid financial crisis
• March 23 will be marked with a simple flag hoisting ceremony
• Austerity measures include fuel cuts and reduced work weeks

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The Pakistani government on Tuesday announced the cancellation of annual national day military parade amid a financial crisis and ongoing austerity drive.

“In the backdrop of the ongoing Gulf oil crisis and the consequent austerity measures announced by the Government, it has been decided that the Pakistan Day Parade and associated ceremonial events shall not be held on March 23," the government said.

Instead, the day will be commemorated with "dignity and reverence through a simple flag hoisting ceremony" at appropriate levels, it added.

The Pakistan Day parade is held on March 23 to commemorate the resolution passed by the All India Muslim League in 1940 in its meeting in Lahore, demanding separate homeland for Muslims in India.

“This measure is being taken to ensure that the resilience and unwavering commitment of the nation to the ideals of Pakistan Day remain aligned with the broader austerity framework," the statement said.

The government said the ministries, divisions and departments have been asked to mark the day in a “solemn and respectful manner".

Top Indian intelligence officials, meanwhile, stated that the scrapping of the Pakistan Day Parade is being assessed as a clear and high-profile indicator of acute financial strain, CNN-News18 reported.

“Pakistan’s cancellation of core military symbolism suggest liquidity pressure impacting even prestige expenditures," they said.

They further said that there is a “serious gap between Pakistan Army’s projected strength and its constrained economic capacity".

The West Asia oil crisis has brought Pakistan’s underlying vulnerabilities to the fore, with strong import dependence, limited forex reserves, and a debt overhang deepening its dependence on external conditions.

Last week, the Pakistan government announced a slew of austerity measures to save fuel due to disruptions caused by the conflict in West Asia.

These included a 50 per cent cut in fuel allowance for official vehicles and a four-day work week. It was also decided that 50 per cent of staff in the public sector would work from home.