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    Home » Opposition Rejects Budget, Cites Rising Poverty and Economic Crisis in Pakistan
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    Opposition Rejects Budget, Cites Rising Poverty and Economic Crisis in Pakistan

    Web DeskBy Web DeskJune 14, 2026No Comments4 Mins Read
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    Opposition leaders in Islamabad on Sunday strongly opposed the federal budget, accusing the government of disregarding economic realities and imposing excessive taxes on citizens while failing to tackle the growing poverty crisis. Senate Opposition Leader Allama Raja Nasir Abbas criticized the government’s assertion that individuals earning Rs280 daily were not below the poverty line, stating the rulers were in denial about the harsh realities faced by the public.

    Abbas emphasized that the government had neglected to deliver essential services, leaving the people overwhelmed by poverty as food prices soared. Drawing an analogy to a household budget, he explained that when expenses surpass income, debt accumulates and assets are sold off. He warned that Pakistan’s expenditures exceed its revenues, with no serious efforts made to cut costs or boost income. Abbas also cautioned that if elections were conducted under the current system, the outcome would be disastrous.

    Mustafa Nawaz Khokhar, leader of Tehreek-e-Tahafuz-e-Ayeen-e-Pakistan, linked the rise in poverty to failed economic policies, stressing that true economic growth should improve citizens’ lives. He argued that a tax system is ineffective without adequate state services and insisted that citizens deserve facilities in exchange for their taxes. Khokhar stated that economic progress is meaningless unless poverty is alleviated, and criticized the government for maintaining high taxes despite failing to reduce its own expenditures or provide services.

    Senior PTI leader Salman Akram Raja described the budget as an “economic emergency,” highlighting Pakistan’s severe economic crisis and mounting debt. He dismissed claims of development as unrealistic and warned that increasing loans threaten the country’s future. Raja pointed out that the government is trapped by interest payments and that relying on loans is unsustainable. He noted that poverty is worsening and that Pakistan lags behind in health and education spending, calling for fundamental reforms to address the crisis and invest in human development to remain competitive globally.

    Former Prime Minister and Awam Pakistan Party leader Shahid Khaqan Abbasi labeled the past four years as the worst for Pakistan’s economy. He noted that government spending now exceeds development outlays, with pension costs surpassing operational expenses. Abbasi highlighted that interest and debt payments are outpacing income, and the country’s debt continues to rise annually, deepening the crisis. He criticized additional taxes for burdening the public further while the government takes new loans to cover expenses. Abbasi dismissed claims of budget relief as unrealistic and called for systemic reforms, emphasizing that investment depends on rule of law, political stability, and policy continuity.

    Jamaat-e-Islami Emir Hafiz Naeemur Rehman condemned Pakistan’s tax system as harsh, alleging that the common citizen pays 60% of taxes. Speaking at a press conference in Islamabad, he demanded the removal of the petroleum levy and the elimination of capacity charges on independent power producers. He also called for abolishing MNAs’ funds in the Public Sector Development Programme and restricting official vehicles to engines no larger than 1300cc. Rehman criticized the budget as mere number manipulation, pointing out that rising electricity, petrol, and gas prices directly impact the public. He noted the government’s admission of IMF pressure and accused it of using budget allocations to mask incompetence.

    Meanwhile, during the National Assembly session, Minister for Information and Broadcasting Attaullah Tarar described the upcoming financial year’s budget as “relief-oriented,” addressing the needs of all societal segments. He stated that the budget has been positively received by economists and opinion leaders. Tarar welcomed constructive opposition proposals but urged acknowledgment of the budget’s positive measures. He highlighted substantial relief for the salaried class, noting that individuals earning up to Rs50,000 face no tax, while those earning between Rs50,000 and Rs100,000 are taxed at just one percent.

    Tarar credited the government’s consistent efforts for achieving macroeconomic stability and acknowledged Chief of Army Staff and Chief of Defence Forces Field Marshal Syed Asim Munir’s role in this progress. Expressing confidence in Pakistan’s economic trajectory, he affirmed that the economy is firmly on a growth path. Referring to reforms in the Federal Board of Revenue, Tarar explained that a new system ensures taxpayers no longer bear the burden of those who evade taxes.

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