ISLAMABAD:
The National Assembly witnessed a heated exchange on Sunday as Treasury and opposition lawmakers went head-to-head, with the government defending the federal budget as a roadmap for economic recovery and the opposition dismissing it as a document dictated by the IMF.
Opening the government’s defense of the budget in the House, Federal Information and Broadcasting Minister Attaullah Tarar said the budget had provided substantial relief to wage earners and should be recognized by the opposition instead of being criticized on political grounds.
Tarar said history would remember the moment when Prime Minister Shehbaz Sharif decided to prioritize the state over politics during one of the country’s most difficult economic periods.
“There was a time when people were betting on Pakistan defaulting. The prime minister stood his ground and said he would save the state no matter the political cost,” Tarar said.
He argued that the government inherited an economy on the brink of collapse and had managed to restore stability through difficult decisions.
According to the minister, salaried employees had received significant relief in the budget, with no income tax on salaries up to Rs 50,000 per month and a one per cent tax rate on monthly income between Rs 50,000 and Rs 100,000.
He said the government had responded to demands regarding tax slabs and had tried to ease the burden on taxpayers. Tarar also accused the opposition of creating a confrontational atmosphere in the house, recalling scenes from previous years in which documents were torn up and books burned on assembly desks.
“The opposition should value positive measures when they are adopted,” he said.
Defending the government’s economic policies, Tarar said the reforms introduced in the Federal Board of Revenue (FBR) would bring long-term benefits to citizens and establish a fairer tax system.
“The greatest injustice of the past was that those who paid taxes bore the burden of those who did not,” he said, adding that nearly 3.6 million retailers remained outside the tax net for years.
He highlighted the digitalization of FBR operations and said international organizations, including the Gates Foundation, had supported the reform efforts. He argued that engagement with the International Monetary Fund had helped prevent economic collapse and restore confidence in the economy.
“There was a time when the exchange rate fluctuated wildly and companies could not open letters of credit. Inflation had reached 38 percent. Today, stability has returned and inflation has dropped significantly,” he said.
Tarar also credited state institutions and the economic team led by Prime Minister Shehbaz Sharif for improving economic indicators. It said foreign exchange reserves had reached $17.2 billion and interest rates had fallen substantially from previous highs.
He claimed that the implementation measures taken by the Finance Ministry and FBR had generated additional revenue of Rs 800 billion during the previous fiscal year.
He further flagged relief measures for the housing sector, including tax reductions for small plots and residential houses and continuation of low-cost housing initiatives under which loans of up to Rs 10 crore would be available to deserving families.
The opposition, however, rejected the government’s narrative and questioned its claims of economic improvement. Former National Assembly Speaker and PTI leader Asad Qaiser described the budget as an IMF budget and accused the government of distorting facts.
During the debate, Qaiser said the government’s claims for aid were disconnected from the realities faced by citizens. “Ninety multinational companies have left Pakistan. Unemployment has increased. Tell us what help has actually been provided to the people,” he said.
Qaiser argued that despite the government’s repeated claims of economic recovery, ordinary Pakistanis were still struggling with rising costs and declining opportunities. He challenged treasury banks to identify a single major sector that would have received significant relief under the budget.
The PTI leader also rejected allegations that his party had acted against national interests and defended the PTI’s stand on judicial independence and democratic governance.
“We have always spoken on behalf of Pakistan and presented our views honestly,” he said.
Qaiser called for a comparison of borrowing under successive governments and questioned the effectiveness of the government’s economic policies. He highlighted the plight of farmers and claimed that wheat farmers in Punjab suffered losses worth Rs 2.2 trillion due to government policies.
“The farmer has been devastated. The government must explain how much new investment it has brought into the country and what concrete measures it has taken to provide real relief,” he said.
The PTI leader argued that Pakistan’s economic challenges could only be addressed through transparent policy formulation and political stability.
The exchange sparked disruption on both sides of the aisle, with lawmakers engaging in heated discussions over economic performance, taxes and governance.
Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal also participated in the debate and accused the PTI government of undermining democratic norms during its tenure.
In direct response to Qaiser’s comments, Ahsan Iqbal said budget discussions should be based on facts and not political misrepresentations.
He alleged that opposition parliamentarians during the PTI government had struggled to obtain production orders for detained lawmakers and accused the previous administration of victimizing political opponents through politically motivated cases.
The minister also highlighted the development projects undertaken in Swabi, Qaiser’s constituency, including the establishment of a university whose foundation stone he said he had personally laid.
press conference in lahore
At a press conference in Lahore, senior PTI leader Sardar Latif Khosa described the financial plan as an IMF-driven, elite-centric budget that would increase the plight of citizens already struggling with inflation and poverty.
Khosa questioned the government’s plan to increase FBR revenue to Rs 15.264 trillion in the next fiscal year, arguing that the ambitious target would ultimately translate into additional taxes and greater pressure on ordinary Pakistanis.
