FAISALABAD: Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb has emphasized the critical role of the private sector in ensuring Pakistan’s economic recovery, stating that while the country is moving in the right direction, sustainable growth depends on business sector contributions.
He made these remarks while addressing the third All Pakistan Chambers Presidents Conference at the Faisalabad Chamber of Commerce and Industry (FCCI) on Saturday.
Aurangzeb highlighted the government’s commitment to economic reforms and assured business leaders that all key stakeholders would be consulted ahead of the upcoming budget. He acknowledged that Pakistan’s economic policies were currently shaped by the International Monetary Fund (IMF) program and stressed the need for clear communication with the private sector on future policy changes.
As part of ongoing reforms, the minister announced a major restructuring of the Federal Board of Revenue (FBR), stating that it would now focus solely on revenue collection, while the Ministry of Finance would handle policymaking. He underscored the importance of fair taxation and called for stronger measures to curb corruption, urging businesses to cooperate in broadening the tax base.
Aurangzeb noted that Pakistan’s tax-to-GDP ratio remains low at 9-10%, which is insufficient for sustainable development. He pointed out that the manufacturing and salaried sectors bear the highest tax burden, while agriculture and retail remain under-taxed.
To address this imbalance, the government has introduced agricultural taxation for the first time in Pakistan’s history.
The minister assured business leaders that economic reforms and tax policies would be designed to support growth and fairness. He invited stakeholders to submit written recommendations, promising that concerns would be addressed through effective strategies.
Revenue and customs officials present at the event were directed to engage directly with the business community.
Earlier, FCCI President Rehan Naseem Bharara reiterated the need for sustainable economic policies and highlighted improvements in key indicators such as inflation reduction, policy rates, and export performance. He also emphasized Pakistan’s IT potential, suggesting that with proper investment channels, the country’s IT exports could reach $100 billion.
The conference was part of FCCI’s Golden Jubilee celebrations and aimed to restore business confidence in Pakistan’s economic future. The event concluded with a shield presentation to the finance minister, attended by business leaders, including former FPCCI President Mian Muhammad Adrees.
