A high-level business delegation, comprising Mr Atif Ikram Sheikh, President of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), and Mian Zahid Hussain, Chairman of the Policy Advisory Board of FPCCI, held a cordial and highly constructive meeting with the Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb Khan. The meeting aimed to formulate a business-friendly Federal Budget for fiscal year 2026-2027 and to address issues concerning Federal Board of Revenue (FBR) taxes.

Business leaders highlighted acute challenges in the current economic climate, with Mr. Atif Ikram Sheikh noting mixed macroeconomic indicators. While GDP growth may recover to 3.5% in 2026, April’s inflation at 10.9% severely impacts purchasing power and production costs. Elevated energy tariffs and high borrowing rates further hinder the competitiveness of Pakistani exports.

Mian Zahid Hussain stressed the need for a fundamental reform of the taxation system to broaden the tax base and introduce a fair tax regime, arguing that squeezing existing taxpayers is counterproductive. He emphasized that a growth-oriented budget is essential for generating employment and boosting exports.

Dr. Najeeb discussed ongoing FBR digitization and reforms aimed at revenue leakages, focusing on rationalizing import duties and improving tax refund processes to alleviate liquidity issues for SMEs.

Aurangzeb Khan assured the delegation of the government’s commitment to business-friendly policies and acknowledged their suggestions on tax rationalization and export facilitation for the upcoming budget. The meeting concluded positively, with both sides agreeing to maintain communication for long-term economic stability.