Prime Minister Shehbaz Sharif stated that the latest economic data confirms the efficacy of the government’s economic reforms, leading to an improved pace of economic development across the country. The Prime Minister made these remarks while chairing a review meeting on tax system reforms in Islamabad.
Sharif specifically cited the tariff reforms as solid evidence that positive economic trends are taking hold. He commended the Federal Board of Revenue (FBR) and the finance team for their performance, noting that the evidence of economic improvement is now clearly visible to the business community and the nation at large.
The FBR briefing presented compelling data, indicating that the tariff reforms had no detrimental impact on revenue collection this year. Instead, duty and tax collection at the import level saw a significant $25$ percent increase. This rise occurred despite the volume of dutiable products only growing by $3.6$ percent, refuting initial fears that lowering tariffs would result in a revenue shortfall.
Furthermore, the briefing highlighted a $41.5$ percent increase in duty-free imports, which is interpreted as a clear indicator of improved productive effects at the lower levels of the economy, boosting manufacturing capabilities. The primary goal of these economic reforms, the PM was informed, is to reduce the cost of raw materials to increase the volume of exports and enhance Pakistan’s competitiveness in the global market.
The Prime Minister concluded the meeting by directing immediate administrative and institutional measures to curb tax evasion and eliminate flaws within the tax collection system, stressing the need to accelerate the overall reform process.
