Pakistan People's Party (PPP) MNA Hussain Tariq on Sunday termed the direct tax targets set in the new budget at Rs6.9 trillion as "very ambitious and unlikely to be achieved," calling on Finance Minister Muhammad Aurangzeb to respond to his concerns.
Tariq stated that the budget is not just about figures, but also about balancing "debit and credit" and providing financial direction for the country's population. He said the PPP understands budgetary discussions "on facts and figures," but the party has always emphasized how the budget impacts ordinary citizens.
"If people benefit, it is fine, but if a budget makes things more expensive, then we feel it should be changed," he said, adding that there have been ongoing discussions within the government regarding the issue.
Referring to targets set by the Federal Board of Revenue (FBR), the MNA noted that a target of Rs14.131 trillion was set, which, like every year, was not achieved and had to be revised. He stated the new target of Rs15.264 trillion represents a 17% increase compared to last year, while inflation has been adjusted at 8%. "Above that, how will it adjust?" he questioned, adding that PPP Chairman Bilawal Bhutto Zardari had also pointed out that the FBR sets targets but fails to achieve them, after which a "tug of war" begins between the state and provinces over revenue responsibilities.
On indirect taxes, Tariq said all members recognize them as regressive. He noted a revised tax target of Rs6.5 trillion and said a 17% revision has been added overall. Further, highlighting inflation pressures, he said the Sensitive Price Indicator has increased by 14.75%, reflecting a significant impact on the poor. He referred to year-on-year data up to June 4, stating that the prices of 51 essential items used by low-income groups have increased. "I agree inflation is around 8% overall," he said, "but there are other pressures as well."
The MNA added that although petrol prices have risen due to war-related conditions, electricity inflation has increased by 54% in a year. "If a person is earning a minimum wage, how will he pay electricity bills?" Tariq questioned. "If he pays bills, he will not be able to fulfill his children's needs," he said, stressing that citizens should not be left helpless due to external conditions such as war.
The MNA also added that the budget does not appear to provide a clear financial direction for the coming years, particularly in terms of employment generation and short and long-term economic policy.
On agriculture, he said he appreciated Minister Rana Tanveer Hussain for his efforts in the National Food Security sector. He noted that opportunities in areas such as GMO and gene editing were not fully utilized in the past, and said policy improvements had been made, but farmers still do not benefit enough to invest in modern machinery. He said agriculture often yields only a 50% profit margin while input costs remain high. Referring to government remarks, Tariq said that the finance minister had claimed that agriculture received significant attention last year; however, this year only limited discussion took place. Tariq also mentioned that Rs117.4 billion was allocated to agriculture, which he described as the backbone of the economy.
The MNA concluded by emphasizing regional equity, saying it should not only be considered at the provincial level but must also extend to district-level investment, where economic stress is most visible.
