Islamabad, August 7, 2025 – In a significant development aimed at reviving Pakistan’s industrial sector, the industry revival committee has proposed a phased reduction in the corporate income tax rate—from the current 29% to 26%—over the next three years.
(more…)Tag: trade
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Budget 2024-25 Will Promote Smuggling: Gohar Tells CEEJ
Karachi, June 24, 2024 – Muhammad Hanif Gohar, Former Senior Vice President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and General Secretary of the United Business Group (UBG) Sindh Zone, voiced strong criticism of the 2024-25 federal budget, warning that it would exacerbate smuggling activities rather than bolster the formal economy.
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Business Community Rejects Public Holiday on Youm-e-Takbeer
PkRevenue.com – The business community has voiced strong opposition to the public holiday announced by Prime Minister Shehbaz Sharif on the occasion of Youm-e-Takbeer.
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Furniture Council Calls for Interest-Free Loans to Boost Industry
In a bid to catalyze growth and innovation within the furniture manufacturing sector, the Pakistan Furniture Council (PFC) Chief Executive Officer, Mian Kashif Ashfaq, has urged the government to provide interest-free loans to furniture manufacturers for a period of five years.
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LCCI Offers Insights on Tax Scheme for Traders and Shopkeepers
The Lahore Chamber of Commerce and Industry (LCCI) has shared its observations on the new tax scheme introduced by the government for traders and shopkeepers.
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Illicit Trade: An Obstacle to Improving Human Development in Pakistan
According to the international research institute Ipsos, Pakistan’s pace of socio-economic development can be significantly enhanced by reducing the loss to the national exchequer through the curbing of illicit trade.
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Industry Faces Looming Challenges of Survival and Sustainability, Says Tahir Javaid
Lahore, October 16, 2023 – Malik Tahir Javaid, President of the Employers’ Federation of Pakistan (EFP), has sounded a warning about the pressing economic crises that are taking a severe toll on Pakistan’s industry.
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Pakistan’s Imports from China Plummet 44% in FY23
Karachi, July 21, 2023 – Pakistan has experienced a substantial 44% decline in imports from China during the fiscal year 2022-23, according to data released by the State Bank of Pakistan (SBP).
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US calls for strengthening bilateral trade with Pakistan
KARACHI: US Special Representative for commercial and business affairs Dilawar Syed has visited Pakistan to strengthen trade ties between the two countries.
Syed visited Karachi July 6-9 as part of a visit to Pakistan that also included stops in Islamabad, Lahore, and Sialkot.
In Karachi, Special Representative Syed met with government officials, industry leaders, innovators, entrepreneurs, and business journalists to further strengthen the economic partnership and bilateral trade between Pakistan and the United States.
“I am pleased to be in Karachi, a dynamic and diverse financial and commercial hub,” said Special Representative Syed. “I am in Pakistan to reaffirm the U.S. government’s commitment to building our economic ties and to explore ways to expand trade and investment between our two countries. Our economic ties are decades long and I’m excited to focus on this relationship as we are celebrating 75 years of relations between the United States and Pakistan.”
During his visit to Karachi, Special Representative Syed met with Foreign Minister Bilawal Bhutto, Minister of Climate Change Sherry Rehman, Minister of Information Technology and Telecommunication Syed Amin ul Haque, Minister of Maritime Affairs Faisal Subzwari, Sindh Chief Minister Syed Murad Ali Shah, Sindh Cabinet Members, and municipal and provincial officials to discuss how the United States and Pakistan can continue to work together to facilitate broad-based, equitable, and sustainable economic growth for both nations. Special Representative Syed also met with Acting Director of the State Bank of Pakistan Dr. Murtaza Syed and other state bank officials about financial inclusion for women and underserved communities and the importance of improving Pakistan’s business climate for U.S. companies and investors to spur greater economic growth.
Special Representative Syed met with numerous industry leaders to explore how to increase Pakistan’s trade balance in critical areas that will provide benefits to both Pakistanis and Americans.
They discussed how the government and private sector can work together to promote a better investment climate in Pakistan and increase women’s economic empowerment, sustainability, workforce development, and corporate social responsibility. Currently, the United States is Pakistan’s largest single country export market and one of the largest sources of foreign investment. U.S. companies and their local affiliates are among Pakistan’s largest employers, with roughly 80 U.S. companies directly employing more than 120,000 Pakistanis. Special Representative Syed also visited Gatron Novatex, a company with strong trade relations with the United States, where he learned more about their recently launched electronic vehicle Ecodost and recycling initiatives.
One of the highlights of Special Representative Syed’s time in Karachi was a visit to the National Incubation Center Karachi (NICK) at NED University where he participated in a panel discussion about promoting U.S.-Pakistan innovation and investment.
While at NICK, Special Representative Syed discussed how the United States and Pakistan can cooperate to strengthen the entrepreneurial ecosystem. “The United States believes that a strong, prosperous, democratic Pakistan is vitally important for the region,” Special Representative Syed noted. “Entrepreneurship, gender equity in all sectors, and education and capacity-building opportunities are key ingredients to reaching that goal.”
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Energy price hike jolts trade, industry: Businessmen Panel
KARACHI: The massive hike in prices of petroleum products and electricity tariff has jolted the trade and industry as high cost would hamper economic activities.
In a statement on Saturday Mian Anjum Nisar, Chairman of the Businessmen Panel, said that Pakistan’s industry had been harmed by the high cost of doing business, which discouraged investment in capacity and capability and called for easing the burden of heavy taxes on the power sector.
As the oil prices have been increased by another Rs30/liter and power tariff has gone up by Rs7.9/unit the Businessmen Panel (BMP) of the Federation of Pakistan Chambers of Commerce & Industry has stated that the government has dropped a fuel bomb on the businessmen after it suffered an electric shock to meet the conditions of IMF for the revival of the stalled loan program- a recipe to shake the trade and industry.
READ MORE: Govt. halts gas supply to export industry: APTMA
The Businessmen Panel (BMP) chairman and FPCCI former president said that the decision would prove detrimental to the industries due to high cost of doing business and will also open the floodgates of inflation. In addition to making the electricity bills costlier and unaffordable for the consumers, the hike in base tariff would escalate prices of all household goods being widely used in every household, he added.
The FPCCI former president termed the increase in base tariff unlawful and a violation of NEPRA’s own rules and regulations, as any increase in tariff has to be determined and implemented only after holding public hearings but unfortunately they have solely decided to raise the tariff without holding public hearings, he argued.
It is to be noted the government has decided to raise the prices of all petroleum products, just a week after making a similar increase – hours after the National Electric Power Regulatory Authority approved a massive increase of Rs7.91 per unit in the power tariff. Now petrol is available at Rs209.86 per litre, high-speed diesel (HSD) at Rs204.15, kerosene oil at Rs181.94 and light diesel oil at Rs178.31.
With the new hike in the power tariff, the price of a unit is expected to move upwards from Rs16.91 to Rs24.82.
READ MORE: SITE industrialists reject increase in power tariff, POL prices
Despite an inevitable increase in the prices that will unleash a strong wave of inflation, the coalition government remains short of clinching a deal with the International Monetary Fund that still requires an agreement on the budget for fiscal year 2022-23.
On the other hand the NEPRA has increased the electricity rates mainly on account of fuel prices, capacity cost payments and the impact of rupee devaluation against the US dollar.
The base tariff has gone up to Rs24.82/kWh — higher by Rs.7.9078/kWh than the earlier determined national average tariff of Rs16.91/kWh — determined by the power regulator for the ongoing financial year.
This is the highest average tariff rate for power consumers.
He condemned the National Electric Power Regulatory Authority’s decision to increase electricity tariffs, stating that the burden of power theft, mismanagement, and inefficiencies cannot be shifted to consumers on the pretext of fuel adjustment.
Anjum Nisar stated that the constant increase in power tariffs on the pretext of fuel adjustment had increased electricity prices and added to the already high cost of trade and industry. Seeking comparable energy tariffs for domestic industries in order to capture the global market, he stated that due to high electricity rates, power theft became rampant as the tariff was unaffordable to consumers.
He urged the power ministry to identify system constraints and communicate targets to all concerned departments in order to launch a wartime effort to upgrade the transmission system.
READ MORE: Yarn merchants for reducing utility prices to save industry
He urged the completion of all ongoing power projects well ahead of schedule. He stated that business-friendly policies must be adopted, similar to those adopted by other neighboring countries in the region.
He suggested that the amount specified in trade policy be used to promote exports by providing incentives to trade and industry and by exploring new markets. According to the BMP Chairman, Pakistan’s electricity prices were already on the high side, which was the primary reason for the country’s price hikes. He stated that providing affordable electricity would assist in lowering production costs, thereby benefiting the public. He stated that rising imports and a widening trade deficit posed a serious threat to economic growth and must be addressed urgently.
READ MORE: KATI demands withdrawal of electricity, petrol price hike
Mian Anjum Nisar said that the recent increase in fuel and electricity rates will add to the miseries of the businessmen, who are already feeling the heat of runaway inflation. He said that increase in fuel prices and tariff rates would also bring about another flood of inflation in Pakistan as it would increase the cost of doing business in the country.