Latest news with #EconomicSurveyofPakistan2024-25
Business Recorder
a day ago
- Business
- Business Recorder
Agri resources: PKRC urges govt to abandon corporate farming
LAHORE: The Pakistan Kissan Rabita Committee (PKRC) termed the '2025 Economic Survey' a wake-up call and called upon the government to abandon corporate farming and military control over agricultural resources and redistribute public agricultural lands among landless farmers, especially women and youth in plots of up to 12.5 acres. PKRC General Secretary Farooq Tariq, while commenting on Economic Survey of Pakistan 2024-25, said according to the survey, the agriculture sector recorded a meagre growth rate of just 0.56–0.6 percent in the past year - the lowest in the last nine years. Without the moderate growth in livestock (4.72%), fisheries (1.42%), and forestry (3.3%), the dismal performance of major crops would have dragged the overall sector into even deeper decline. The most staggering drop occurred in major crops, whose collective production fell by 13.49 percent. Cotton suffered a massive 30.7 percent decline with its cultivated area shrinking by 15.7 percent. Cotton ginning was also declined by 19 percent, compounding the crisis. Wheat production declined by 8.9 percent, primarily because the government, despite earlier promises, refused to purchase wheat from farmers at PKR 3,900 per 40 kg, leaving growers in despair. Other critical crops like sugarcane, rice, and maize also registered declines ranging from one percent to 15 percent. In December 2024, Punjab Chief Minister Maryam Nawaz claimed that wheat had been cultivated on 16.5 million acres—achieving 82 percent of the province's target. However, ground realities have proven otherwise. All major farmer organizations had already criticized the government's failure to procure wheat at the promised support price and warned that growers were abandoning wheat cultivation. Instead of acknowledging its policy failures, the government blames climate change: erratic monsoons, delayed sowing, and extreme heat. But the reality is that the government's neoliberal agricultural policies have failed miserably. By exposing farmers to the whims of the free market and refusing to implement meaningful protections, these policies have caused a steep drop in production, Farooq Tariq added. He said for the first time, the survey admits that cultivated area has decreased - especially for cotton and wheat. This has had a direct impact on national food security. Agriculture contributes 23–24% to Pakistan's GDP and provides employment to 37 percent of the workforce. A crisis in this sector affects the entire economy. Suggesting ways to strengthen the agricultural sector, PKRC General Secretary also proposed a ban on new canals, particularly those impacting the Indus River system, legal implementation of Minimum Support Prices (MSP), starting with wheat at PKR 4,000 per 40kg and a ban on private wheat imports and strengthening PASSCO for public procurement. He also called for accountability for the wheat crisis, including arrest and investigation of hoarders and speculators, regulation of agricultural markets to prevent price volatility, rejecting IMF and WTO policies that undermine farmers; rebuilding public procurement systems and ensuring real access to interest-free loans for small farmers, while excluding agri-businesses and banks from subsidies. Copyright Business Recorder, 2025
Time of India
2 days ago
- Business
- Time of India
Pakistan's tax exemptions hit $21 billion; exceed external debt repayments: Economic survey reveals
Pakistan's tax exemptions to various sectors cost the country over $21 billion this year, more than the $17 billion it needs to repay in commercial and bilateral external debt, as revealed in the latest economic survey. Pakistan's finance minister Muhammad Aurangzeb presented the Economic Survey of Pakistan 2024-25 on Monday, which outlines various economic developments and indicators for the fiscal year. The survey indicates that tax exemption costs increased to Rs 5.8 trillion in fiscal year 2024-25, showing a substantial rise of Rs 2 trillion from the previous year's Rs 3.9 trillion under the current government, according to news agency PTI. The survey reveals a Rs 1.96 trillion or 51% increase in tax expenditure, despite the Pakistan Muslim League-Nawaz (PML-N) government's removal of several exemptions in its previous budget. T by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Halle: GEERS sucht 700 Testhörer für Hörgeräte ohne Zuzahlung GEERS Undo he economic survey shows that tax concessions and exemptions continue to rise annually, despite multiple attempts to reduce them. These exemptions, established over time, are safeguarded under three separate tax laws. Sales tax exemptions reached Rs 4.3 trillion in the outgoing fiscal year, showing a 50% increase from Rs 2.9 trillion in the previous period. Income tax exemptions rose by 68% to Rs 801 billion from Rs 477 billion, whilst the government increased tax burden on salaried individuals but maintained exemptions for other sectors like retailers. Customs duty exemptions rose by Rs 243 billion or 45% to Rs 786 billion this fiscal year from Rs 543 billion previously, according to the report. The Rs 5.8 trillion in "tax expenditures for 2025" raises questions about the reliability of earlier reported losses, it added. The continuous growth in tax expenditures, despite governmental efforts to reduce them, suggests either the implementation of numerous undisclosed tax exemptions or underreporting of previous figures. The report says the sharp rise in tax exemption costs is not due to any major increase in economic activity. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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Business Standard
2 days ago
- Business
- Business Standard
Pakistan's tax exemptions rise to $21 million, economic survey shows
Tax exemptions to various sectors cost Pakistan more than $21 billion this year, a higher amount than the $17 billion the country is required to repay against its maturing commercial and bilateral external debt, according to the latest economic survey. Unveiled by Finance Minister Muhammad Aurangzeb on Monday, the Economic Survey of Pakistan 2024-25 documents various economic developments and indicators in a fiscal year. According to the document, the cost of tax exemptions surged to a record Rs 5.8 trillion in the current fiscal year (2024-25), a rise of nearly Rs 2 trillion in the first year of the present government from the previous fiscal year's Rs 3.9 trillion. The Express Tribune newspaper reported that in dollar terms, the cost of tax losses was $21 billion, substantially higher than the $17 billion Pakistan is required to repay this year against its maturing commercial and bilateral external debt owed to China, Saudi Arabia, the United Arab Emirates, and Kuwait. The survey showed that the jump in tax expenditure figure this year reflects a Rs 1.96 trillion or 51 per cent increase, despite the Pakistan Muslim League-Nawaz (PML-N) government removing several exemptions in its last budget. Despite multiple rounds of withdrawing tax concessions and exemptions, the amount has continued to rise annually, according to the economic survey. These exemptions, approved over the years, are protected under three distinct tax laws. The survey reported sales tax exemptions worth Rs 4.3 trillion in the outgoing fiscal year, compared to Rs 2.9 trillion in the previous year, a nearly 50 per cent rise. Income tax exemptions totalled Rs 801 billion in the outgoing fiscal year, up 68 per cent from Rs 477 billion last year, according to the Federal Board of Revenue's estimates. This increase came despite the government's decision to shift more tax burdens onto salaried individuals while sparing other sectors like retailers. Customs duty exemptions increased to Rs 786 billion this fiscal year, up Rs 243 billion or 45 per cent from Rs 543 billion last year, the survey showed. The reported Rs 5.8 trillion in "tax expenditures for 2025" casts doubt on the credibility of previously published losses, according to the report. Despite efforts by successive governments to scale back and eliminate tax expenditures, it continues to grow steadily. According to the newspaper, this indicates either the introduction of numerous hidden tax exemptions during the fiscal year or the understatement of the prior year's figures. There has been no extraordinary increase in economic activity to justify such a sharp spike in tax exemption costs, according to the report.
Deccan Herald
2 days ago
- Business
- Deccan Herald
Pakistan's tax exemptions rise to $21 million, economic survey shows
Unveiled by Finance Minister Muhammad Aurangzeb on Monday, the Economic Survey of Pakistan 2024-25 documents various economic developments and indicators in a fiscal year.
Mint
2 days ago
- Business
- Mint
Paks tax exemptions rise to USD 21 million, economic survey shows
Islamabad, Jun 10 (PTI) Tax exemptions to various sectors cost Pakistan more than USD 21 billion this year, a higher amount than the USD 17 billion the country is required to repay against its maturing commercial and bilateral external debt, according to the latest economic survey. Unveiled by Finance Minister Muhammad Aurangzeb on Monday, the Economic Survey of Pakistan 2024-25 documents various economic developments and indicators in a fiscal year. According to the document, the cost of tax exemptions surged to a record ₹ 5.8 trillion in the current fiscal year (2024-25), a rise of nearly ₹ 2 trillion in the first year of the present government from the previous fiscal year's ₹ 3.9 trillion. The Express Tribune newspaper reported that in dollar terms, the cost of tax losses was USD 21 billion, substantially higher than the USD 17 billion Pakistan is required to repay this year against its maturing commercial and bilateral external debt owed to China, Saudi Arabia, the United Arab Emirates, and Kuwait. The survey showed that the jump in tax expenditure figure this year reflects a ₹ 1.96 trillion or 51 per cent increase, despite the Pakistan Muslim League-Nawaz (PML-N) government removing several exemptions in its last budget. Despite multiple rounds of withdrawing tax concessions and exemptions, the amount has continued to rise annually, according to the economic survey. These exemptions, approved over the years, are protected under three distinct tax laws. The survey reported sales tax exemptions worth ₹ 4.3 trillion in the outgoing fiscal year, compared to ₹ 2.9 trillion in the previous year, a nearly 50 per cent rise. Income tax exemptions totalled ₹ 801 billion in the outgoing fiscal year, up 68 per cent from ₹ 477 billion last year, according to the Federal Board of Revenue's estimates. This increase came despite the government's decision to shift more tax burdens onto salaried individuals while sparing other sectors like retailers. Customs duty exemptions increased to ₹ 786 billion this fiscal year, up ₹ 243 billion or 45 per cent from ₹ 543 billion last year, the survey showed. The reported ₹ 5.8 trillion in "tax expenditures for 2025" casts doubt on the credibility of previously published losses, according to the report. Despite efforts by successive governments to scale back and eliminate tax expenditures, it continues to grow steadily. According to the newspaper, this indicates either the introduction of numerous hidden tax exemptions during the fiscal year or the understatement of the prior year's figures. There has been no extraordinary increase in economic activity to justify such a sharp spike in tax exemption costs, according to the report.
