ISLAMABAD–Pakistan’s Finance Minister Shaukat Tarin said that the government is giving the public a subsidy of 144 billion rupees on fuel items so that they can help each other in the country.
He told a press conference in Islamabad on Wednesday that, in light of the international market’s skyrocketing costs for petroleum products, we have decreased the petroleum levy and eliminated the sales tax.
Shaukat Tarin said that people who use 700 units of power each month would get a five rupee per unit subsidy for the next four months. He said we would have to provide a subsidy of 136 billion rupees for this.
The Finance Minister stated that negotiations with the IMF have taken place regarding the Prime Minister’s announced relief package. He said that the IMF should have no issues to the package since it is being funded entirely via domestic means, including increased tax collections. He said that this would not result in a rise in our budget deficit.
Shaukat Tarin said that the government has also provided an industrial assistance package in order to develop the country’s industries. Pakistanis who live outside of Pakistan will get a tax break and money to help get businesses back on their feet, he said.
According to the Finance Minister, tax concessions have also been granted to the information technology industry in order to considerably boost exports. He noted that the IT sector grew by 47% last year and is currently growing at a rate of 70%. He said that we want to increase this sector by 100% in the next year.
Shaukat Tarin said that our trade imbalance has decreased as well.