- The Senate debates a 200% increase in the price of gasoline.
- Government defends Rs 129 billion fuel subsidy package.
- Pakistan targets revenue of Rs 13 trillion for FY27.
Finance Minister Senator Muhammad Aurangzeb on Wednesday said the Economic Survey will be presented tomorrow (Thursday), laying the foundation for the upcoming Federal Budget 2026-27 and outlining key fiscal indicators and performance over the past year.
The Economic Survey, the pre-budget document, would provide a comprehensive view of the country’s economic performance, including GDP growth, tax revenues, sectoral trends in key industries and other important fiscal and macroeconomic indicators for the outgoing financial year.
The Minister of Finance today announced the date of presentation of the Economic Survey during a session of the Senate, while briefing legislators on developments related to the Middle East conflict and its continuing economic implications.
During a debate on a motion regarding rising petrol prices, Senator Mohsin Aziz said petrol prices had increased by 200%, criticizing the government’s policy on fuel prices and subsidies and raising concerns about the burden on consumers.
He maintained that while the government had reduced jet fuel prices, the relief had not been extended to ordinary consumers, adding that public finances were under pressure as government expenditure continued unabated and oil tax revenues were not being used for public benefit.
Responding to lawmakers, Aurangzeb said that at the beginning of the Middle East conflict it was unclear whether it would last a week or a month, adding that it had now continued for three and a half months with ongoing economic effects.
He said the government had initially decided to pass on the burden of gasoline price, but then provided 129 billion rupees in subsidies over three weeks, a move that also drew criticism from stakeholders.
The Finance Minister said the subsidies were funded through cuts in the Public Sector Development Program (PSDP), adding that Rs 5.4 billion had already been disbursed, including support for 800,000 motorcycle users and more than Rs 4 billion for farmers under targeted relief measures.
He further said that even if the conflict were resolved immediately, its economic impact could persist into the next year.
Aurangzeb said Pakistan was targeting Rs 13 trillion in revenue for the current fiscal year, noting that unlike 2022, the country did not make international appeals in the wake of the floods but instead managed losses through domestic resources.
He also said the oil tax had always existed and stressed that commitments related to the tax remained part of the government’s broader fiscal framework.
The federal budget for fiscal year 2026-2027 is likely to be presented in the National Assembly on June 12, Parliamentary Affairs Minister Tariq Fazal Chaudhry said on Tuesday.
The announcement marked a new adjustment to the budget calendar. Earlier, the federal government had decided to present the budget on June 10 after postponing it from June 5 amid consultations with coalition partners and discussions on proposed budget measures.
Budget session plan
In another development today, a meeting of parliamentary leaders was held in Islamabad under the leadership of National Assembly Speaker Ayaz Sadiq where arrangements for the upcoming budget session were discussed.
The budget session is expected to continue without interruption from June 12 until its approval, without weekly holidays, including Saturdays and Sundays, parliamentary sources said. Geographic news.
The government aims to secure approval of the budget before Ashura, with the aim of completing it by June 23 or 24, they added.
Sources said if the approval is delayed, the session will continue without holidays except Ashura, while supplementary grants will be considered later.
