Pakistan moving from stability to growth, says Aurangzeb in post-budget briefing

ISLAMABAD – Finance Minister Muhammad Aurangzeb on Saturday said Pakistan’s economy is now moving in the right direction and the government is preparing to transition from stabilisation to sustainable growth. Addressing a post-budget press conference alongside Minister of State for Finance Bilal Azhar Kayani, Information Minister Attaullah Tarar, Federal Board of Revenue Chairman Rashid Mahmood Langrial and other officials, the finance minister elaborated on key features of the federal budget for the fiscal year 2026–27. He said the latest budget reflects “significant progress towards economic growth” and focuses on creating an enabling environment for export-led expansion. Aurangzeb highlighted policy measures aimed at improving competitiveness, including the removal of certain advance taxes to facilitate businesses. He also described the abolition of the super tax on companies earning above Rs500 million as a “positive and meaningful policy shift,” adding that further relief for exporters had been directed on the instructions of Prime Minister Shehbaz Sharif and the federal cabinet. He said this decision would be formally included in his concluding budget speech. According to the finance minister, the budget places strong emphasis on strengthening the tax system, boosting exports, and introducing practical reforms to support long-term economic stability. Aurangzeb announced that an additional Rs70 billion subsidy has been allocated for exporters, allowing access to financing at a reduced rate of 4.5 percent. He said the move is intended to enhance export competitiveness and improve liquidity within the sector. On agriculture, he said customs duties on agricultural machinery have been eliminated, while agricultural credit has surpassed Rs20 billion. He added that overall financing for the sector has increased by 15 percent, reaching more than Rs2 trillion, as part of broader efforts to modernise agriculture. He also confirmed that small farmers will not be re