Aurangzeb says that a sustainable judgment cannot depend on charity

On Saturday, Finance Minister Mohamed Uranzib stressed the importance of a strong economic framework, noting that a sustainable ruling cannot be dependent only on charity as it dealt with concerns about Pakistan’s dependence on the International Monetary Fund (IMF).

“The reason is that we have not implemented the structural reforms necessary to change the DNA of the economy,” said The Finmin, while dealing with the third conference of all Bakistan Chambers presidents in the FICI Chamber of Commerce and Industry (FCCI.

He pointed out that the tax rate to GDP from about 9-10 % is not sustainable. “In a country ranging from 240-250 million people, if only a certain percentage is paid for taxes, their progress can be made in taxes,” he said.

He said: “Hospitals and education can work on charitable works, but the government cannot,” adding that the government intends to raise the tax rate to GDP to 13.5 % to achieve economic sustainability.

Moreover, he said that the government’s move to expand the tax base reduced the burden on the national treasury.

Aurangzeb has reaffirmed that the Pakistani economy is moving towards improvement, driven by major reforms.

He stressed that the decrease in the policy rate also benefited from business owners and that continuous economic stability measures were resulting in positive results. He also emphasized that inflation has decreased to one numbers, providing relief to the public.

The Minister of Finance highlighted that recent tax reforms have increased significantly from the collection of revenues.

Aurangzeb also stressed the need for public and private sector cooperation to advance economic growth, saying that work together is very important for long -term progress.

The International Monetary Fund recently confirmed that two of its duties will visit the country in the next two weeks; The first task will focus on climate financing discussions, while the second will do the first review of Pakistan’s progress under the $ 7 billion in the Fund’s facility (EFF), the news said on Saturday.

The government of Prime Minister Shaybaz Sharif obtained approval from the Executive Council of the International Monetary Fund for a new loan program in September 2024, followed by a $ 1.02 billion chip.

With Pakistan International Monetary Fund officials, Islamabad will also have to develop a broader consensus on the main features of the following budget in the period 2025-26 with lender employees.

If both sides fail to reach consensus, the first review may be linked to the approval of Parliament on the budget.

It also agreed that the first billion dollars of a billion dollar segment will be reviewed and approved by the Executive Council of the International Monetary Fund by April 2025.

Earlier this week, FinMin Aurangzeb said that Pakistan expected $ 1 to $ 1.5 billion of climate financing from the International Monetary Fund.

The mission of the second International Monetary Fund in Pakistan in March will visit the six -month review under the supervision of less than 7 billion dollars, and the Caesar Financial said, adding that all matters related to the global lender were fine.

The Minister of Finance said that the current account recorded a deficit of $ 420 million in January 2025, an increase of 4 % from $ 404 million in the same month last year.

However, it highlighted that the current account maintained a surplus of 682 million dollars in the first seven months of the fiscal year 25, which is a sharp transformation from a deficit of $ 1.801 billion in the same period last year.