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The Karachi Chamber of Commerce and Industry (KCCI) strongly rejected the Federal Budget 2025-26, calling it anti-business and unfair to taxpayers, especially documented businesses and industrial sectors.
Chairman Businessmen Group (BMG), Zubair Motiwala, described it as a “camouflage budget” that fails to offer any real relief to the business community or the common man in Pakistan.
Motiwala said the government made tall claims about digitalization and cashless economy, but these steps are not enough to boost exports, attract investment, or encourage industrial development.
He noted the economy’s poor performance last year, where targets like GDP growth and fiscal balance were missed. Yet the government set even higher goals for the current fiscal year.
Motiwala said the budget relies heavily on existing taxpayers instead of widening the tax net. He warned this would hurt documented businesses and may shrink the formal economy further.
He expressed concern over increased discretionary powers to tax officials, saying such unchecked authority could lead to fear, harassment, and discourage business activity in a weak economic climate.
He criticized the government for ignoring vital industrial needs. No cut in gas prices or relief in interest rates was announced, making Pakistan’s products uncompetitive internationally.
Energy costs in sectors like textiles remain high. Without reforms or cost reduction, Motiwala said the government’s growth targets are unrealistic and will not attract local or foreign investors.
The budget also lacks strong support for exports or infrastructure. Only Rs1,000 billion was set aside for development projects, and a meager Rs2.783 billion for climate change resilience.
President KCCI, Muhammad Jawed Bilwani, said the government’s inflation claims do not match reality. Electricity bills remain high and basic needs unaffordable for ordinary people.
Bilwani said without addressing electricity costs and borrowing rates, industry cannot grow and new jobs cannot be created. High operational costs threaten business survival across sectors.
He also slammed the low allocation for Karachi projects like K-IV. Karachi is the country’s economic engine and deserves serious infrastructure investment, not repeated neglect.
Vice Chairman BMG Anjum Nisar added that the tax system needs fairness and transparency. Without a pro-business approach, growth and stability will stay out of reach.
In conclusion, KCCI called for reforms to widen the tax net, cut energy prices, support exports, and build investor confidence—steps needed for Pakistan’s real economic revival.
