"International cricket encroaches upon our domestic events and in an attempt to make domestic cricket attractive we have decided to invite foreign players into our tournaments," Nasim Ashraf, Pakistan Cricket Board (PCB) chairman, said on Sunday.
Inzamam-ul-Haq, former Pakistan captain last month urged the PCB to raise the standard of first-class cricket, which he believed currently produces mediocre players who struggle at the international level.
"Through the central contracts given to the home players they are now bound to play in domestic events, and we will make sure they feature in at least 75 percent of these events," said Ashraf.
The PCB chairman warned that any player not competing in the required number of domestic matches would not be eligible for international cricket.
"The fee for playing first-class matches will be raised and the PCB will provide money to the regions to hire cricketers," said Ashraf, who took over in October last year.
Some $8.3 million has been allocated to attract foreign players, and to give local players a pay rise, he said.
All Pakistani players competing on the first-class level will be paid from $165 to $330 per match, Ashraf added.
Strengthening first-class cricket
The prestigious Quaid-e-Azam Trophy will now be the only first-class tournament, featuring eight private departments and 13 regional teams, Ashraf said.
Previously departments and regions battled in separate tournaments.
The PCB also resisted calls from former greats like Imran Khan and Ramiz Raja to ban the departments.
"Departments give economic security to the players by employing them and we hope that the steps taken will strengthen our first-class cricket, which is the first step towards getting good results at international level," said Ashraf.
Pakistan performed dismally in the World Cup held in the Caribbean in March-April this year, when they were eliminated in the first round after defeats at the hands of the West Indies and minnows Ireland.