Economic News
Rising Petroleum Levy Identified as Key Factor Behind Pakistan’s Inflation Surge
Pakistan’s recent return to double-digit inflation is increasingly being attributed to higher fuel taxation, with a new study suggesting that the government’s expanding use of the petroleum levy has played a significant role in driving up prices across the economy. A report published by the Policy Research and Advisory Council (PRAC) argues that the petroleum […]
Government Delays Planned Tax Increase on Fertilizer and Pesticides
The federal government has decided to postpone the proposed increase in taxes on fertilizer and pesticides, providing temporary relief to Pakistan’s agriculture sector and farmers already facing rising production costs. According to recent developments, the government has formally informed the International Monetary Fund in writing that the planned tax hike will not be implemented for […]
Finance Ministry Explains Recent Increase in Government Expenditure
The Finance Division has issued a clarification regarding recent reports on rising civil government expenditure, stating that the figures were presented without proper context and created a misleading perception about federal spending trends. In an official statement released on Thursday, the ministry explained that a significant portion of the increase in expenditure was linked to […]
Industry Rejects Govt’s Power Package, Warns of Factory Closures
Pakistan’s industrial sector has voiced strong opposition to the government’s proposed incremental electricity consumption package, calling it unsustainable and damaging for production and exports. During a public hearing conducted by the National Electric Power Regulatory Authority (NEPRA) on Tuesday, representatives from major business associations criticized the Power Division’s proposal to set a tariff of Rs. […]