Federal Minister for Commerce Jam Kamal Khan has said that Pakistan’s options are constrained due to the International Monetary Fund (IMF) programme.
During a meeting of the Senate Standing Committee, strong criticism was directed at the Federal Board of Revenue (FBR) chairman. The meeting of the Senate Standing Committee on Commerce was chaired by Senator Anusha Rahman. On this occasion, Jam Kamal Khan briefed the committee and said that the IMF insists on equal treatment for all sectors. Jam Kamal said: "The IMF demands an increase in tax revenue before granting relief to various sectors."
The committee was informed that the IMF has also raised objections regarding Special Economic Zones. The minister said that the IMF maintains that subsidies should only be provided once revenue increases.
Jam Kamal said that 95 per cent of the population in Pakistan does not have access to financing facilities. Officials of the Ministry of Commerce expressed hope that the policy rate would come down to single digits by June.
The standing committee also recommended relief in income tax rates. The meeting was informed that the current volume of bilateral trade with Iran stands at $3.12 billion. Imports amount to $2.42 billion, while exports stand at $700 million. The committee expressed displeasure over the non-implementation of the SRO related to easing trade with Iran. Committee members demanded that FBR Chairman Rashid Mahmood Langrial be summoned.
Senator Talha Mahmood said that the FBR was currently behaving like a 'Mongol force'. He said: "FBR chairman resembled Genghis Khan, holding an axe in his hand." He warned that the FBR would destroy the industrial sector.
