Author name: Yasir Zubairi

RAWALPINDI — Pharmaceutical traders in Rawalpindi have expressed strong approval of the federal budget for the fiscal year 2026-27, focusing on the relief measures targeting medicines and taxation. Abolition of Federal Excise Duty The government has abolished the Federal Excise Duty (FED) on essential medicines, particularly for severe illnesses like cancer. This decision has garnered significant support from the pharmaceutical sector. Effect on Patients Faizan Malik, a local trader, highlighted that this change will ease the financial burden on patients and improve access to necessary medications. These relief measures are anticipated to benefit pharmacy traders by making medicines more affordable and boosting demand. Maintaining Stability in Pharmaceutical Taxation Malik discussed the critical importance of stable taxation within the pharmaceutical industry. Such stability is vital for ensuring a continuous supply and fair pricing of medications. Advantages of a Pro-Public Budget Another trader, Khurram, shared similar views, commending the budget’s pro-public stance, particularly in the health sector. The removal of FED on crucial medicines reduces healthcare costs for patients with life-threatening conditions. Khurram also emphasized the necessity for consistent policy implementation and ongoing support to strengthen the healthcare supply chain.

HYDERABAD — Idress Chohan, Senior Vice President of the Hyderabad Chamber of Small Trade and Small Industries (HCSTSI), praised the federal budget for the fiscal year 2026-27. He described the budget as balanced and expressed optimism about its positive impact on both business and industry. Strategic Economic Approach In a statement to the Associated Press of Pakistan, Chohan commended the government’s strategic economic approach. He highlighted the decision to avoid new taxes on the motorbike industry, considering it supportive for this sector. Chohan also applauded the abolition of the super tax, calling it a bold move. This decision is expected to ease financial pressures on businesses, potentially fostering further economic growth. Promoting Investment and Trade Chohan expressed hope that the new budget would spur investment in trade and industry. He emphasized the crucial role of fully implementing government policies to ensure they benefit the nation and its citizens as intended.

PESHAWAR — Academics and government employees in Khyber Pakhtunkhwa have praised the income tax relief measures from the 2026-27 federal budget. This initiative is viewed as vital in easing the financial stress on salaried individuals. Restructuring Income Tax Slabs Assistant Professor Sundas Amin commended the government’s plan to restructure income tax slabs. Notable measures include reducing marginal tax rates across various income brackets and eliminating the surcharge on the salaried class. Tax Rate Reductions Salaries between Rs2.2 million and Rs3.2 million will see a tax reduction from 23% to 20%. Incomes between Rs3.2 million and Rs4.1 million will have their tax rate lowered from 30% to 25%. Individuals earning between Rs4.1 million and Rs5.6 million will experience a reduction from 35% to 29%. Additional Financial Support The federal budget also proposes a 7% increase in salaries and pensions for government employees and pensioners. Professor Dr. Muhammad Naeem considers these steps as significant financial support measures.

ISLAMABAD — Federal Minister for National Food Security and Research, Rana Tanveer Hussain, held a crucial meeting addressing the challenges in fertilizer availability, pricing, and supply. This session included provincial agriculture ministers, fertilizer manufacturers, importers, and senior officials. Fertilizer Supply for Key Seasons The meeting reviewed the supply of Urea and DAP fertilizers for the ongoing Kharif season and planning for the upcoming Rabi season. Officials reported that all ten national fertilizer plants are operational, collectively providing over one million tonnes of Urea. This production effectively meets farmers’ demands, avoiding shortages. Maintaining Stable Urea Prices Despite rising international fertilizer prices and market fluctuations, Pakistan has successfully maintained stable Urea prices. Minister Hussain emphasized this stability in contrast to global trends and stressed its importance for economic stability. Addressing Price Hikes Minister Hussain addressed the issue of rising fertilizer prices in some markets, instructing companies and authorities to stop unjustified price increases. He warned against profiteering and the creation of artificial shortages. Industry Cooperation Fertilizer company representatives reassured the government that Urea prices would not increase significantly. They committed to cooperating with the government to ensure stable supplies across Pakistan, supporting the agricultural economy.

RAWALPINDI — The business community in Rawalpindi has expressed strong support for the 2026-27 federal budget, endorsing key measures. However, business leaders call for clearer economic policies to help reduce business costs. Key Budget Highlights and Reactions Usman Shaukat, President of the Rawalpindi Chamber of Commerce and Industry (RCCI), praised a 7% increase in salaries and pensions. He welcomed the removal of the Federal Excise Duty on medicines for cancer and other serious illnesses. Despite these positives, Shaukat pointed out the lack of a clear export policy and initiatives to promote a more business-friendly environment. He emphasized the importance of ongoing consultations with the business community to develop a beneficial policy framework. Real Estate Tax Reductions Sohail Altaf, Group Leader and Former President of RCCI, appreciated the reduction in property purchase taxes. Rates for filers have decreased from 2.5% to 1.25%, and from 5.5% to 2.75% for sellers. He also praised the exemption from super tax for businesses earning up to Rs. 0.5 billion and a tax rate reduction from 10% to 8% for higher incomes. Call for Policy Clarity Altaf highlighted current ambiguities in GST policies and urged lawmakers to lower operational costs for businesses. He commended Prime Minister Shehbaz Sharif for incorporating business chamber input into budget discussions. With prevailing tax rates between 50% to 60% creating barriers to investment, adjustments are necessary. The business community advocates expanding the government’s tax net with a clear and practical strategy, especially to support small traders.