The federal government’s recently announced budget emphasizes digitisation, agricultural development, and industrial regulation as key pillars to stabilize the economy while offering targeted support to the lower-middle class, senior cabinet officials revealed on Saturday.
At a post-budget press briefing, Federal Minister for Finance and Revenue Muhammad Aurangzeb described the fiscal plan as a vital move toward enhancing structural transparency. A central feature of the strategy is expanding the tax base through digital surveillance, automation, and artificial intelligence, which Aurangzeb said will drastically reduce human involvement within the Federal Board of Revenue (FBR) and help eliminate corruption.
In a significant development, the finance minister stressed the government’s shift from economic stabilization to sustainable growth, with a clear focus on boosting exports, implementing tax reforms, and fostering a business-friendly environment. He revealed that Prime Minister Shehbaz Sharif had instructed the abolition of the super tax for all exporters, accompanied by an additional Rs70 billion in subsidies.
Aurangzeb underscored the critical roles of the construction and agriculture sectors in propelling economic progress. He highlighted that agricultural lending had surpassed Rs2 trillion, supported by substantial initiatives designed to assist farmers. Furthermore, the budget offers tax relief for salaried individuals, including a reduction of the lowest income tax rate from five percent to one percent and a decrease in another slab from 15 percent to 13 percent.
He also noted the positive reception from chambers of commerce nationwide, emphasizing that the budget aims to stimulate business activities. The Prime Minister’s loan program has been allocated Rs262 billion, with Rs125 billion specifically designated for agriculture.
Meanwhile, Federal Minister for Information and Broadcasting Attaullah Tarar praised the budget as a people-focused financial plan, lauding Prime Minister Shehbaz Sharif’s economic team for their achievements under difficult circumstances. Tarar highlighted relief measures for salaried workers, tax incentives for the middle class in real estate, and the introduction of the “Apna Ghar” housing scheme targeting low-income families.
He further commended the government’s efforts to digitalize the FBR and promote a cashless economy, stating these steps have enhanced transparency and contributed to macroeconomic stability, even as critics warned of a potential sovereign default.
In addition, Minister of State for Finance Bilal Azhar Kiyani described the budget as a “people’s budget,” designed to alleviate burdens across various sectors including salaried employees, the construction industry, and businesses. He emphasized the government’s priority to reduce the tax load on the salaried class and praised the meaningful relief incorporated in the current fiscal plan.
Kiyani also pointed out that the budget fulfills promises made to the public and addresses longstanding concerns from industrialists and exporters regarding the super tax. He asserted that the government has taken concrete, practical actions to lower taxation rather than merely offering assurances.
