Adviser to the Federal Finance Minister Khurram Shahzad has said the government plans to provide relief to salaried individuals and registered businesses in the upcoming federal budget.

Speaking to Samaa TV, he said targeted measures were being prepared for compliant taxpayers, alongside efforts to reduce energy tariffs and rationalise tax rates.

Responding to concerns about public relief despite claims of economic stability, Shahzad said the government’s focus was shifting towards easing pressure on those who pay taxes regularly.

He expressed confidence that Pakistan’s economic growth this fiscal year would exceed projections by international financial institutions, including IMF, with GDP growth estimated at up to 4%.

Shahzad added that growth could reach around 5% in the next fiscal year, while remittances were expected to exceed $41 billion, supporting the external sector.

Read More: SAPM Haroon Akhtar Meets industrialist SM Tanveer

On IMF engagement, he said preparations were underway for the next review talks, noting that cautious economic policies were being implemented to ensure sustainable development.

He said 24 loss-making state-owned institutions would be privatised under IMF structural benchmarks, alongside reforms including right-sizing and restructuring in the energy sector.

Shahzad said inflation had fallen sharply from 25–30% to around 5%, while exports were expected to rise as economic stability improved.

In a separate message on X, he said the federation collected Rs13 trillion in taxes and levies last year, raising the federal tax-to-GDP ratio to 11.3%.

He noted that provinces collected only Rs979 billion, or 0.85% of the economy, and would need to triple tax collections by 2028 to meet national targets.