The federal government has withdrawn the fuel-saving and other austerity measures introduced in the wake of the US-Iran war, following a sharp reduction in petroleum prices.

According to an official notification issued by the Cabinet Division, with the prime minister’s approval, the Friday holiday has been abolished, restoring a five-day working week.

The directive allowing 50% of government employees to work from home has also been withdrawn, along with a 50% cut in fuel allocations for official vehicles.

However, restrictions on market operating hours will remain in place.

The decision comes after a significant reduction in fuel prices announced by Prime Minister Shehbaz Sharif.

Petrol prices have been cut by around Rs74 per litre, while diesel prices have been reduced by Rs67 per litre.

The government said the reduction reflects falling prices in the international oil market and the end of the Middle East conflict, adding that the benefit has been passed on directly to the public after what it described as “public patience during difficult times.”

With fuel becoming cheaper, several previously imposed restrictions on government operations and business activity have also been rolled back.

In addition to restoring the five-day working week, the earlier decision to reduce fuel quotas for government officials has been reversed, and a decision to shut down 60% of government vehicles has also been withdrawn.

However, energy conservation measures remain in force, including the requirement for all shops and commercial centres to close by 9pm.

Wedding halls and other event venues must also continue to close by 10pm in line with existing directives.