The Shehbaz Sharif government in Pakistan presented the new budget on Friday after taking several desperate measures to cut corners. In the new budget, aimed at taxing the wealthy, the government has doubled the tax on cars with engine capacity of 1600CC or above, which will include sports utility vehicles and some sedans.
“Economic stability is our foremost priority … we have to set strong foundations of economic development that is based on sustainable growth,” the minister said as he presented the budget.
According to reports, the national average electricity tariffs would go up by more than 20% as the allocation for power subsidies has been reduced.
Fuel prices are set to soar again as the government has proposed a petroleum levy of rupees 750 billion, more than five times higher than the revised allocation of rupees 135 billion for FY22, the Dawn reported.
Mobile phones and cigarettes are also set to become costlier following the budget provisions.
Former prime minister Imran Khan rejected the ‘anti-people’ and ‘anti-business’ budger and said it shelved all the ‘progressive tax reforms’ done in his term. “Budget is based on unrealistic assumptions on inflation(11.5%) & economic growth(5%). Today’s SPI of 24% indicates that inflation will be between 25/30% which on the one hand will destroy the common man. And on the other hand retard economic growth due to high interest rates. All our progressive tax reforms and Pro-poor programs such as Sehat card, Kamyab Pakistan are being shelved. It is an unimaginative, Purana Pakistan budget creating more burdens & misery for the nation,” Imran Khan tweeted.