ACT Alliance Calls for Action Against Illicit Trade Instead of Mini Budget
"Sustainable growth requires bold decisions and long-term reforms, not short-term fixes," Akram stated.
Islamabad: The National Convenor of ACT Alliance, Mubashir Akram, expressed deep concerns over reports of a potential mini-budget, urging the government to prioritize structural reforms and a crackdown on illicit trade rather than imposing additional fiscal measures. Speaking at a media talk, he highlighted how mini budgets undermine business confidence and create instability in the economic environment, directly affecting Pakistan’s growth trajectory.
“Mini budgets are a band-aid solution for deep-rooted problems in our taxation and governance frameworks,” Akram remarked. “Instead of placing further burdens on compliant businesses and taxpayers, the government must focus on curbing the rampant tax evasion and illegal trade in key sectors, such as petroleum, real estate, tobacco, sugar, pharmaceuticals, and tires. These activities cost the country over Rs 3,000 billion annually—a figure that cannot be ignored any longer.”
Akram pointed out that despite some progress in enforcement, critical gaps remain in addressing illicit trade and tax evasion. For example, the real estate and tobacco industries have long been plagued by unregulated practices that deprive the national exchequer of significant revenue. Meanwhile, the POL and tire sector continues to see rampant smuggling, which harms local manufacturers and poses risks to consumers due to substandard products.
He emphasized that introducing a mini-budget in this climate would disrupt business operations and deter much-needed foreign direct investment (FDI). “Businesses and investors thrive on stability and predictability. The uncertainty caused by frequent fiscal changes undermines the efforts of the Prime Minister and the Special Investment Facilitation Council (SIFC) to create a business-friendly environment. We must align our fiscal policies for a prosperous and stable Pakistan,” he said.
Akram urged the government to expand the tax net and focus on efficient enforcement rather than overburdening the already limited pool of tax filers. He emphasized the importance of creating fairness in the tax system, improving revenue collection, and reducing the burden on salaried individuals and compliant businesses.
“Sustainable growth requires bold decisions and long-term reforms, not short-term fixes,” Akram stated. “The government must decisively eliminate illicit trade and tax evasion in every sector, channeling the recovered revenue into development and public welfare. This is how we can ensure Pakistan’s thriving economy and prosperous future.”
Read More: Pakistan reveals playing XI for opening T20 match against South Africa
ACT Alliance continues to advocate for transparency and sustainable economic practices, urging stakeholders to work together to overcome Pakistan’s fiscal challenges.
