Adviser to the Federal Minister for Finance, Khurram Shehzad, has announced that significant relief will be provided to salaried individuals and registered businesses in the upcoming federal budget, as the government works to strengthen purchasing power and promote sustainable economic growth.
Speaking to a private TV channel, Khurram Shehzad said the government is actively working on reducing energy tariffs and tax rates to ease the burden on taxpayers. He said enhancing the public’s ability to earn livelihoods remains a key objective of the government’s economic agenda.
He added that preparatory work is underway for the next round of economic review talks with the International Monetary Fund (IMF). As part of structural reforms agreed with the IMF, 24 state-owned enterprises that have become a burden on the national exchequer will be privatized. He said the privatization plan forms part of the IMF’s structural benchmarks.
The adviser said the government expects further economic stability alongside growth in exports. He expressed confidence that Pakistan’s economic growth would surpass projections made by the IMF and other international financial institutions.
According to Khurram Shehzad, gross domestic product (GDP) growth is expected to reach 4 percent in the current fiscal year and could rise to 5 percent next year. He also projected that workers’ remittances may exceed $41 billion this year.
Referring to Pakistan’s repeated reliance on IMF programmes, he said the country has historically approached the IMF every two to three years. However, he stressed that this time the government is implementing cautious and sustainable economic policies to ensure long-term stability.
He said rightsizing measures are being carried out, while reforms are ongoing in state-owned enterprises and the energy sector. He noted that inflation, which had surged to 25–30 percent, has now declined to around 5 percent, reflecting improved macroeconomic stability.