Business

KARACHI: The Businessmen Panel Progressive (BMPP) has urged the government to prioritize export growth, industrial development, and expansion of the tax base in the upcoming federal budget, while reducing the cost of doing business by lowering the General Sales Tax (GST) to 15 percent and abolishing the Super Tax. Addressing a press conference at the Karachi Press Club, BMPP Chairman and Senior Vice President of Federation of Pakistan Chambers of Commerce and Industry, Saquib Fayyaz Magoon, said the forthcoming budget should focus on export-led growth, tax reforms, and relief for the manufacturing sector. He stressed that reducing the cost of doing business and broadening the tax net were essential, while imposing additional taxes on already compliant sectors was counterproductive. FPCCI Vice Presidents Amanullah Paracha and Asif Sakhi, former Vice President Shabbir Mansha Churra, and other business leaders were also present. Magoon said that if the government could not completely abolish the Super Tax, it should at least exempt the manufacturing sector to encourage investment and provide relief to industries. He maintained that burdening any single sector with additional taxes was not a sound policy and that all sectors should be treated equally. He called for the restoration of the Fixed Tax Regime and measures to facilitate the inclusion of new taxpayers into the tax net. To simplify compliance, he proposed the introduction of a single-page tax return form that would be easier for businesses and small traders to understand and file. Highlighting challenges facing the agricultural sector, Magoon demanded the withdrawal of taxes on cottonseed and special relief measures for the oilcake and cottonseed sectors. He also called for significant reductions in taxes on industrial raw materials to lower production costs and improve the competitiveness of Pakistani products in international markets, ultimately boosting exports. He said FPCCI’s budget proposals place exports at the center of economic policy, arguing that increasing exports is essential for addressing Pakistan’s economic challenges. He urged the government to consult exporters and the business community on export-related policies and matters concerning the Final Tax Regime. Expressing concerns over the proposed tax collection target of Rs15.2 trillion for the next fiscal year, Magoon described it as unrealistic and disconnected from economic realities. He noted that revenue targets had also been set unrealistically high in the previous fiscal year and were subsequently revised downward. “Merely setting ambitious tax targets serves little purpose,” he said, adding that revenue goals should be based on the actual capacity of the economy and prevailing business activity. He stressed that tax collection targets should be determined in consultation with exporters and relevant stakeholders. Magoon further stated that growth targets for different sectors should also be set through consultations with industry representatives and stakeholders. According to him, unilateral policymaking is ineffective and creates uncertainty within the business community. Calling for extensive tax relief for the chemical industry, he said the sector has significant potential to contribute to industrial growth and exports. He also urged the government to review tax incentives available in the former FATA and PATA regions, ensuring that such concessions are aligned with local demand-and-supply conditions and economic realities to prevent misuse and maintain fair market competition. Reiterating his concerns over the proposed Rs15.2 trillion tax target, Magoon said such goals do not reflect ground realities and have historically required downward revisions. He also called for tax and growth targets to be formulated through stakeholder consultations rather than unilateral decisions. Among other proposals, he recommended exempting individuals earning up to Rs100,000 per month from income tax and increasing the minimum wage by 15 percent in view of rising inflation. He also advocated special tax incentives for the chemical industry and a comprehensive review of tax concessions granted to FATA and PATA. Speaking on the occasion, Shabbir Mansha Churra said the federal budget should focus on economic growth rather than revenue targets alone. Asif Sakhi emphasized the need to make trade bodies partners in policy implementation, while Amanullah Paracha stressed that economic growth would remain elusive without broadening the tax base and simplifying the tax system to make it more business-friendly and less intimidating.

Karachi, 3rd Jun 2026: In a landmark move for Pakistan’s digital finance landscape, DIB Pakistan and Pocket Money have formalized a strategic partnership aimed at transforming financial access for the country’s booming creator economy. The signing ceremony, held at DIB Head Office, Karachi, marks a significant step towards building a robust, ethical digital banking ecosystem tailored for Pakistan’s borderless talent. With over 2.37 million registered freelancers, generating an estimated USD 3 billion in annual export revenues, Pakistan ranks among the world’s fastest-growing freelance markets. Yet access to seamless cross-border payments, digital wallets, and formal banking has remained a persistent challenge. This partnership directly addresses that gap by combining DIB Pakistan’s globally trusted banking platform with Pocket Money’s cutting-edge fintech infrastructure to deliver an end-to-end financial solution built for the gig economy. Muhammad Ali Gulfraz, CEO of DIB Pakistan, emphasized the strategic vision: “Pakistan’s freelancers represent an exciting opportunity for export of services. They are part of a rapidly evolving global economy, and they need a banking service that works at the same speed. This partnership ensures smooth, swift and seamless flow of hard-earned funds into the accounts of our freelancers so they can focus on maximising their productivity rather than chasing their payments.” Moe Jangda, Founder & CEO, Pocket Money, added: “Together with DIB Pakistan, we’ve opened up payment channels that were previously fraught with hurdles or outright inaccessible. We’re incredibly excited about what this unlocks for Pakistan’s ambitious talent. Best of all, we’re just getting started.” The partnership will deliver a powerful suite of freelancer-first financial products, including faster inward remittances and payment solutions for users earning through global platforms and digital marketplaces such as Upwork, Fiverr, Toptal, Amazon, eBay, Shopify, Stripe, PayPal, and other international commerce and freelance ecosystems. The offering will also include multi-currency digital wallets for seamless cross-border transactions, as well as financial literacy programs designed to empower Pakistan’s growing digital workforce. Together, DIB Pakistan and Pocket Money are set to redefine digital financial inclusion for Pakistan’s next generation of digital trailblazers, making ethical, borderless banking not just accessible, but the new standard for the global gig economy.

ISLAMABAD: The Competition Appellate Tribunal (CAT) has decided an appeal filed by Reckitt Benckiser Pakistan Limited against an order of the Competition Commission of Pakistan (CCP) dated February 9, 2021, concerning the deceptive marketing of its product, Strepsils. The Tribunal upheld the Commission’s finding that Reckitt Benckiser had violated Section 10(2)(b) of the Competition Act, 2010 by disseminating misleading information to consumers regarding the nature and character of the product. The Tribunal directed the company to pay a penalty of Rs. 30 million and to strictly comply with the corrective measures prescribed by the Commission. The Tribunal further directed that compliance with the Commission’s instructions be ensured within the stipulated period. The case arose from a complaint filed by M/s Square Distribution & Marketing System (Pvt.) Limited, alleging that Reckitt Benckiser had been creating the impression through its marketing and advertising that Strepsils was a medicinal product for sore throat relief, despite its deregistration as a drug and subsequent marketing as a non-medicated product. At present, the product is registered as a food item. In its judgment, the Tribunal noted that the company had substantially altered its product packaging and disclosures following the Commission’s proceedings. The Tribunal observed that Strepsils packaging had undergone material changes, including the prominent display of the words “Non-Medicated” in both English and Urdu on the front of the packaging and blister packs, whereas previously such disclosure was less conspicuous. The Tribunal observed that these modifications reflected acceptance of the need for corrective measures and acknowledged that the company had made significant changes to its packaging and marketing practices following the Commission’s intervention. As part of the Commission’s directions, Reckitt Benckiser has also been required to prominently publicize the change in the status of the product from a medicated/drug category to a food category through advertisements in at least three widely circulated English and Urdu newspapers across Pakistan. Such notices are required to be published on a weekly basis until full compliance is achieved. The CCP remains committed to protecting consumers from deceptive marketing practices and ensuring that businesses provide accurate, clear, and truthful information regarding their products and services. The decision reinforces the importance of transparency in advertising and affirms consumers’ right to make informed purchasing decisions based on correct information.