Finance Minister Muhammad Aurangzeb has said that Budget 2026-27 is focused on expanding Pakistan’s tax base while reducing pressure on existing taxpayers, particularly the salaried class. Addressing the National Assembly, he stated that the government’s strategy is centered on fairness, economic stability and sustainable growth.
According to the minister, the budget introduces measures designed to provide relief to salaried individuals, small businesses, exporters, industries and the construction sector. He emphasized that economic reforms are intended to encourage investment and improve productivity across key sectors.
A major objective of Budget 2026-27 is to bring more businesses into the formal tax system. Aurangzeb said retailers are being integrated into the tax net through simplified mechanisms, while compliance and enforcement measures are being strengthened to improve revenue collection.
The finance minister highlighted positive economic indicators, noting that remittances reached $4.25 billion in a single month. He also expressed confidence that annual remittance targets would be achieved, while IT exports and freelance earnings continue to show strong growth.
Agriculture remains a central focus of Budget 2026-27, with the government announcing collateral-free loans of up to Rs300 billion for small farmers. Additional support includes fertilizer subsidies, agricultural credit incentives and tax relief on machinery imports aimed at boosting productivity.
Aurangzeb also outlined measures for housing, construction and pension reforms. New initiatives include low-cost housing support, digital verification systems for pensioners and salary increases for university professors and academic staff under higher education reforms.
The finance minister described Budget 2026-27 as a pro-growth and development-oriented plan that seeks to maintain fiscal discipline while strengthening economic performance. He urged policymakers and stakeholders to work together to ensure long-term prosperity and continued economic progress for Pakistan.
