Federal Finance Minister Muhammad Aurangzeb has announced that the upcoming federal budget will include relief measures for the salaried class. He added that efforts are also underway to further reduce electricity bills by July or earlier, in coordination with the International Monetary Fund (IMF).
Speaking about Pakistan's economic outlook, the Finance Minister revealed that a comprehensive relief plan for salaried individuals has already been prepared and will soon be presented to the IMF. He confirmed that all IMF targets have been met, though there were slight delays in completing a few of them. The IMF Executive Board is expected to approve the Staff-Level Agreement in May, paving the way for the release of $1 billion in the next tranche as well as climate financing support.
Aurangzeb further stated that 98% of proposals for the upcoming budget have been received from both the public and private sectors. The government is collaborating with stakeholders to assess which recommendations can be implemented. Relevant sectors will be informed ahead of the budget presentation regarding which proposals will be adopted and which cannot be pursued, along with reasons.
Finance Minister confirmed that the final budget will be enforced from July 1, and no post-presentation changes will be made to ensure immediate implementation.
Regarding taxation, Aurangzeb noted improved tax compliance from the business community but emphasized that the trader-friendly scheme should not be linked directly to revenue collection.
A simplified tax form is being developed to allow individuals to file their taxes independently. He also announced that tax policy will now function under the Ministry of Finance.
