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PM Shehbaz Sharif Promises Tax Reduction, Lower Electricity Prices, and Transparent Privatization for Economic Growth
Prime Minister Shehbaz Sharif emphasizes tax cuts, lower interest rates, and transparent privatization to boost Pakistan's economy. "Karachi is the backbone of the nation's economy," he said.
ND
by News Desk
2025-01-09
PM Shehbaz Sharif Promises Tax Reduction, Lower Electricity Prices, and Transparent Privatization for Economic Growth

In a bold statement aimed at revitalizing Pakistan’s economy, Prime Minister Shehbaz Sharif assured businesses and traders that the government would take decisive steps to lower taxes and reduce electricity prices. Addressing traders at the Karachi Stock Exchange, he acknowledged the burden of high taxes on businesses and assured that the government would make efforts to create a more conducive environment for investment.
"The current tax system does not allow businesses to operate efficiently," Sharif said. "Heavy taxes will not attract investment. We will reduce taxes and electricity prices, fulfilling the promises we made to the IMF, but we will bid farewell to the IMF when the time comes."
He pointed out that the interest rate has recently been reduced to 13 percent, with hopes to bring it down further to 6 percent, pending a review of all possibilities. Sharif expressed optimism about Pakistan’s economic recovery, citing the importance of reducing the tax-GDP ratio and achieving targets in collaboration with economists and business leaders.
Sharif also touched on the country's privatization agenda, acknowledging the challenges faced with the initial attempt to privatize the Pakistan Electric Power Company (PEPCO) but emphasizing the transparency of the process. "The privatization process of Islamabad Airport will be completed in the next couple of days," he said.
During the inauguration of the Faceless Customs Assessment System, Sharif reiterated the government's commitment to closing the Rs 400 billion gap in tax collection and rewarding officials who help meet these targets. He highlighted the recent improvements in Karachi’s infrastructure, especially the return of power to the city, calling it the backbone of Pakistan's economy.
In a candid reflection on Pakistan's economic situation, Sharif warned against complacency. "Those who think everything is fine live in a fool’s paradise," he said, urging for a realistic approach to identify areas of improvement.
The Prime Minister emphasized the need for a balanced approach to the country’s economic challenges, inviting experienced economists and business leaders to contribute to the country’s development. He also underscored the significant mineral resources available in Pakistan, which have attracted foreign investment interest. Rather than exporting raw materials, investors are eager to set up industries within Pakistan, providing a boost to local employment and tax revenue.
Sharif concluded by expressing the government's readiness to privatize power distribution companies like LESCO, FESCO, and HASECO, ensuring transparency in the process and encouraging feedback from the business community.
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Karachi

PakistanEconomy

PMShehbazSharif
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