Business-led reforms, stronger tax enforcement and export-focused growth remain central to Pakistan’s economic strategy

Prime Minister Muhammad Shehbaz Sharif has said the government recovered Rs800 billion during the past year through enforcement measures alone, without introducing new taxes, as it continues implementing structural economic reforms in consultation with the business community.

Addressing a meeting with leading industrialists, businessmen and entrepreneurs, the prime minister said several long-pending reforms had been introduced over the last two and a half years through sustained cooperation between the government and private sector.

Shehbaz Sharif said improved enforcement had helped authorities pursue cases that had remained pending in courts for nearly a decade. He particularly highlighted matters involving indirect sales tax paid by consumers, describing the improvement in enforcement as unprecedented in the country’s history.

The prime minister recalled that the government had conducted several rounds of consultations with business representatives before presenting the federal budget. Finance and Commerce ministries had also engaged with stakeholders to understand their concerns and incorporate their recommendations into economic policies.

He said the cooperation of the business community had played an important role in implementing structural reforms during challenging economic conditions. According to the prime minister, these collective efforts had also contributed to greater flexibility from the International Monetary Fund (IMF).

Shehbaz Sharif stressed that Pakistan’s economic growth must be driven by exports, arguing that growth without a strong export orientation would have limited value. He pointed to tax relief provided to exporters in the federal budget as part of efforts to strengthen the country’s export capacity.

The prime minister said the meeting was aimed at obtaining business leaders’ views on challenges affecting export growth during the first quarter of the fiscal year and identifying practical solutions.

Business representatives welcomed the government’s continued engagement with the private sector. Arif Habib said several business proposals had been incorporated into the federal budget and expressed optimism about investment and export growth.

Amir Ibrahim called for greater attention to emerging sectors, particularly telecommunications, digital infrastructure and artificial intelligence. He also emphasized the need to develop data centres and AI factories to support Pakistan’s digital economy.

Other business leaders, including Umar Saeed, Shehzad Saleem and Javaid Balwani, also welcomed regular government-industry consultations. Balwani particularly appreciated the establishment of FBR offices in Karachi and Lahore, saying the initiative could improve facilitation for businesses and contribute to stronger exports and economic activity.