Pakistan Economy: Pakistan's FY26 Budget: Reforms, Revenue, and Relief - By IIS Research

<p></p><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">For the upcoming fiscal year 2025&ndash;26, the government projects an economic growth rate of 4.2% and an inflation rate of 7.5%. The overall fiscal deficit is anticipated at 3.9% of GDP, with a primary balance target of 2.4% of GDP. Federal tax revenue is set at PKR 14,131 billion.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">The budget introduces key revenue measures through FBR and Customs reforms, tariff adjustments, reduction of tax exemptions, and increased sales tax on selected imported goods. Other measures include higher withholding tax on online transactions and nonfilers, withdrawal of the sales tax exemption on solar panels, increased sales tax on motorcars, and the imposition of a ...