Remittances are expected to surpass $35 biln in the current fiscal year 2024-25: Finance Minister Muhammad Aurangzeb

KARACHI, Dec 07 (SABAH): Minister for Finance and Revenue Senator Muhammad Aurangzeb says economy is heading in the right direction due to prudent economic policies introduced by the government.

Chairing a meeting of Overseas Investors Chamber of Commerce and Industry in Karachi on Saturday, he urged private sector to come forward and play its role in economic growth.

Muhammad Aurangzeb said inflation is continuously decreasing and steps are being taken to pass benefits of improvement in the economy to the people at grassroot level. He also urged media to introduce Pakistani products at the world.

The Minister said the country has import-led economy, which is creating the balance of payment problem.  He said every single entity of the country should contribute to exports. He said markets are available for ‘Made in Pakistan’ products.

Replying to a question, Muhammad Aurangzeb said talks are underway with Sindh Government regarding Agriculture tax. He said Punjab government had already done work on it and Khyber-Pakhtunkhwa and Balochistan are working on it.

The Minister said efforts are being made to bring real estate, agriculture, wholesalers and retailers under tax net. He said leakages in sales tax and income tax are being stopped through the digitalization process.

Replying to a question on inflation, he said that a Standard Item Agenda had been introduced by the Economic Coordination Committee to control prices of pulses, petroleum, transportation to provide relief to the people.

Muhammad Aurangzeb expressed optimism about the economic situation of the country, saying that the remittances are expected to surpass $35 billion in the current fiscal year 2024-25.

The minister noted that inflation is gradually decreasing due to the government’s effective strategies. Highlighting the importance of the private sector, he emphasised its role in strengthening the economy and assured that the issues faced by private enterprises would be resolved.

The finance minister also discussed the economic losses incurred over the past six years, amounting to Rs6 trillion. He revealed that multinational companies repatriated $2.2 billion in profits abroad, urging them to increase exports.

Additionally, he noted the closure of over 900 fake petrol pumps as part of government reforms.

Muhammad Aurangzeb mentioned the encouraging results of the OICCI’s business confidence survey, indicating improving economic conditions.

He also clarified that there are no discussions underway with the International Monetary Fund (IMF) regarding the imposition of sales tax on petroleum products.

Muhammad Aurangzeb said that Pakistan’s economic growth should be driven by exports rather than relying on imports.

Referring to the Pakistan Tehreek-e-Insaf (PTI) protests, he said the economy faced Rs190 billion loss on a daily basis as a result of public demonstration.

Earlier, the finance minister held a meeting with Sindh Governor Kamran Khan Tessori. Speaking on the occasion, Mohammad Aurangzeb said IT and agriculture have important role in the economy. He lauded the initiatives of Sindh Governor to train youth with IT skills.