WASHINGTON: Federal Finance Minister Senator Muhammad Aurangzeb said on Thursday that Pakistan’s total debt has climbed to $258 billion, accounting for 69 percent of the nation’s economy. Muhammad Aurangzeb is currently in the United States for annual meetings of the International Monetary Funds and World Bank meetings.
In an interview with the French news agency AFP, Aurangzeb acknowledged the difficulties faced by the salaried class and reiterated the government’s commitment to avoiding additional tax burdens on them.
He said that the industrial sector has reached its maximum tax capacity, emphasizing the importance of enhancing tax collection and diversifying revenue sources, particularly by increasing tax revenues from the real estate and retail sectors.
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Aurangzeb added that over Rs 5.2 million has been collected in income tax returns, with a 29 percent increase in the tax base in recent years. He also stressed the need to combat theft in government corporations, reduce electricity losses, and adopt a strong stance against tax evasion.
Regarding the privatization of Pakistan International Airlines (PIA), he mentioned that the process is set to proceed in November, allowing bidders sufficient time to evaluate their investment options. While the government initially aimed for a June 2024 privatization, delays arose due to the need for an audit of PIA’s assets.
On the overall issue of national debt, Aurangzeb reiterated that Pakistan’s total debts have reached $258 billion, representing 69 percent of the economy.