Arif Habib, founder and CEO of Arif Habib Corporation Limited, has said he expects the federal government to reduce the super tax in the upcoming budget for FY2025-26, alongside broader fiscal relief for industry and salaried individuals. Speaking to reporters at the Pakistan Stock Exchange (PSX) on Monday, Habib revealed that Prime Minister Shehbaz Sharif, in a recent meeting, indicated that the next budget would provide incentives aimed at supporting various sectors of the economy.
“I think we can also expect a reduction in the super tax in particular,” Habib stated, referring to the levy that has been a longstanding concern for businesses and investors. The government is scheduled to present the federal budget on June 2, just ahead of Eid ul Azha.
Commenting on the recent escalation in cross-border hostilities, Habib accused India of falsely implicating Pakistan in a recent attack and misleading its own citizens. “As a result, it is not only facing backlash from its public but is also under severe criticism in its parliament. On the other hand, Pakistan has emerged as a hero,” he remarked.
The seasoned investor highlighted that the Pakistan Stock Exchange has responded with strong bullish sentiment in the wake of recent positive developments. These include the announcement of a ceasefire agreement between India and Pakistan and the International Monetary Fund’s (IMF) approval of crucial financing under its Extended Fund Facility and Resilience and Sustainability Facility programs.
On Monday, the PSX KSE-100 Index posted a historic rebound, surging nearly 10,000 points during intra-day trading — a signal of renewed investor confidence following weeks of uncertainty.
Habib also pointed to the recent policy rate cut by the State Bank of Pakistan and the continued implementation of reform measures as signs that the country is advancing on its economic roadmap. “Pakistan is progressing on the economic front and has shown the world that it is a strong and capable country,” he said.
The statement comes after US President Donald Trump confirmed that both India and Pakistan had agreed to a “full and immediate ceasefire” on Saturday, amid rising concerns over a military escalation. The US president also expressed willingness to help both sides seek a lasting resolution to the Kashmir conflict.
