Business

The finance ministry completes the budget schedule for FY2025–2026.

Published

1 month ago

Farwa

The ministry has suggested that the federal budget for the next fiscal year be unveiled around the first week of June, according to specifics.

By the end of May 2025, it is suggested that all budget documents be completed. It is suggested that the annual planning committee meeting take place in the first week of May, while a meeting of the National Economic Council is set for the second week.

Furthermore, the Budget Strategy Paper should be adopted by April 18, 2025, and the sessions of the Budget Review Committee should take place from February 11 to February 28.

The proposal also calls for the projections of the foreign exchange budget to be submitted by May 7.

The Federal Board of Revenue (FBR) has also started working on the budget for the next fiscal year 2025–2026. It was previously reported that stakeholders are being invited to submit their ideas by January 31.

The FBR has formally written to all pertinent parties to solicit their comments on the budget for the upcoming fiscal year.

Income tax, sales tax, federal excise duty, and revenue-raising ideas are among the particular proposals that stakeholders are asked to submit. The board is also seeking suggestions for expanding the scope of current taxes and widening the tax base.

Along with proposals pertaining to taxes, the FBR has requested feedback on general sales tax for all companies as well as ideas for phasing away tax exemptions gradually. The FBR has underlined how important it is to simplify tax processes and make rules more understandable for taxpayers.

Business

Remittances Increase 25.2% in January 2025: $3.0 Billion Inflow

Published

18 hours ago

Farwa

Remittances from Pakistani workers totalled US$3.0 billion in January 2025, representing a 25.2% increase from the previous year.

The cumulative remittances for July through January of FY25 were 20.8 billion dollars, up 31.7 percent from 15.8 billion dollars during the same period in FY24.

In January 2025, the United States of America contributed 298.5 million dollars, the United Kingdom contributed 443.6 million dollars, the United Arab Emirates contributed 621.7 million dollars, and Saudi Arabia contributed 728.3 million dollars.

Business

In January, Pakistan’s remittances rose by 25%.

Published

19 hours ago

Farwa

In January 2025, Pakistan had a notable 25% growth in domestic remittances, with inflows hitting a record $3 billion for the month.

In a post on X, Khurram Shahzad, advisor to the Federal Finance Minister, revealed the most recent data, showing a sharp increase in remittances. The overall amount of remittance inflows from July 2024 to January 2025 was $20.8 billion, which is a 32% increase from the previous year.

According to official documents, the federal government’s non-tax revenue increased by Rs1,623 billion during the first half of the current fiscal year, from July to December, to Rs3,602 billion, up from Rs1,979 billion during the same period last fiscal year. The petroleum levy accounted for a significant portion of the increase, collecting an additional Rs76.64 billion, bringing the total petroleum levy revenue to Rs549 billion, up from Rs472.77 billion during the same period last year. Shahzad described the increase in remittances as a positive development for Pakistan’s economy and external accounts, and he projected that if this trend continues, annual remittances could surpass $35 billion by the end of the fiscal year.

Significant non-tax revenue was also generated by the State Bank of Pakistan (SBP), which reported a profit of Rs2,500 billion from July to December, a substantial increase from Rs972 billion during the same period the previous year.

Business

It is anticipated that the cost of electricity will drop by Rs2 per unit.

Published

19 hours ago

Farwa

In an effort to help consumers, the government is attempting to lower electricity costs nationwide.

A task team has started negotiating with 45 more power facilities to reduce electricity rates, according to Ministry of Energy sources.

According to the plan, the profit margin of about 25 state-owned power plants will be cut from 19% to 13%, which will result in an electricity tariff drop of 50 paisa per unit. Moreover, rather than total production capacity, these power plants will now get compensation based on actual electricity generation.

It is anticipated that these actions will result in a Rs2 per unit drop in the overall electricity bill. The task force’s suggestions will probably be brought up for approval in the upcoming cabinet meeting.