Federal Minister for Finance Muhammad Aurangzeb announced notable advancements in Pakistan’s economy, highlighting the successful conclusion of the IMF Standby Agreement and a significant surge in exports.
During a press conference in Islamabad on Sunday, he remarked that macroeconomic stability is an ongoing journey rather than a final destination, underscoring the government’s persistent efforts to fortify the national economy.
Aurangzeb reported a remarkable 29% increase in exports, largely fueled by growth in the IT sector. He credited this success, along with improvements in foreign exchange reserves and a reduction in inflation to single-digit levels, to the Prime Minister’s leadership and the effective execution of government policies.
He also commended the caretaker government’s role in securing the IMF program.
In his remarks, the Minister highlighted the timely repayment of a $2 billion debt in June and a cut in the policy rate to 4.5%. He linked the decline in inflation to the lower policy rate and noted positive trends in the Pakistan Stock Exchange along with rising foreign direct investment. Aurangzeb emphasized that the growing investor confidence is a key achievement indicative of a strengthening economy.
Addressing tax collection concerns, Aurangzeb noted that the number of tax filers has doubled compared to the previous year, reaching 3.2 million from 1.6 million. He also announced that 723,000 new filers have entered the tax net this year, warning that non-filers will face restrictions on purchasing vehicles and property.
He revealed plans to streamline the Federal Board of Revenue (FBR), emphasizing the need for internal reforms. To enhance efficiency, six ministries will be dissolved, two merged, and additional reforms will be introduced in government institutions.
Aurangzeb concluded with an optimistic outlook, expressing confidence that exchange and policy rates will align with expectations. He stressed the importance of private sector leadership and the government’s aim to consult international experts to further enhance the nation’s economic position.
