Islamabad: Prime Minister Shehbaz Sharif has initiated measures aimed at doubling Pakistan's export earnings to $60 billion by addressing systemic hurdles, Planning Minister Ahsan Iqbal announced on Monday. A high-level committee has been established under Deputy Prime Minister Ishaq Dar to review proposals designed to enhance the nation's export capabilities.
The initiative is part of a broader strategy to reduce Pakistan's reliance on the International Monetary Fund (IMF) and prevent the need for international bailouts. Iqbal emphasized the urgency of declaring an export emergency, proposing the establishment of a Prime Minister's Hotline for exports and a dashboard to expedite tax refunds.
The announcement follows a significant tax shortfall reported by the Federal Board of Revenue (FBR), which collected Rs330 billion less than expected, despite a substantial reduction in issued refunds. This shortfall has diminished the likelihood of a mini-budget but has placed an additional burden on existing taxpayers.
Field reports indicate that the FBR collected approximately Rs100 billion in indirect tax advances across major cities to meet interim targets. Despite these efforts, the financial constraints have led to the Ministry of Finance withholding the release of the development budget, with only 21% of the annual allocation spent in the first half of the fiscal year.
The committee, led by Dar, is expected to submit its recommendations to the prime minister next week. The proposal includes increasing exports to $100 billion within the next decade, aiming to prevent dependency on foreign financial aid.
Furthermore, Iqbal suggested that national holidays for the export sector become optional to minimize disruptions. The planning ministry has proposed that PM Sharif actively support the top exporting firms and engage in direct visits to promote exports. Additional suggestions include transforming diplomatic missions into trade outposts and leveraging the Pakistani diaspora for investment and knowledge-sharing.
The prime minister has been urged to direct relevant ministries to realign their operations with the economic agenda, focusing on value addition, product diversification, and expanding the global market presence.
The planning ministry highlighted that while Pakistan's economy stabilized with a 3.7% growth in the first quarter, there remains significant untapped potential in sectors such as textiles, agriculture, and industrial diversification. Iqbal asserted that the growth figures were accurate, countering claims that they were inflated.
In conclusion, the government's efforts are geared towards achieving a more robust and self-reliant economy, with a strategic focus on long-term export growth rather than short-term consumption-led models.