Bangladesh had already clinched the series by winning the first two matches, but Cooper’s innings overshadowed a career-best 6-48 by left-arm pace bowler Shoriful Islam.

Set 275 to win, Australia scraped home with three balls to spare when Adam Zampa hit a cover drive to the boundary off Taskin Ahmed.

Bangladesh earlier reached 274-5 after winning the toss, with Towhid Hridoy leading the way with a composed innings of 83 off 88 balls.

Australia started their run chase strongly, racing to 40 before losing captain Josh Inglis to Shoriful in the fifth over.

Shoriful then bowled Matt Renshaw for a duck two balls later to have Australia at 40-2.

Australia were then wobbling at 70-3 when Alex Carey fell for eight to a stunning catch by Soumya Sarkar at short cover off Taskin.

Connolly refused to buckle, the 25-year-old opener sharing a 64-run stand with Marnus Labuschagne (29) and then similarly valuable partnerships with Cameron Green and Oliver Peake.

Shoriful removed Peake and Xavier Bartlett with successive deliveries, but Ben Dwarshuis denied him the hat-trick.

Dwarshuis’s dismissal soon after left Australia needing five runs from 15 balls with two wickets in hand.

Tanzid Hasan then dropped a straightforward chance at gully off Zampa that eemed to deflate Bangladesh.

Connolly finally fell to Mustafizur after scoring his first ODI century, an innings studded with 13 fours and six sixes. That left Australia four runs short with nine balls remaining, with Zampa and tail-ender Riley Meredith at the crease.

Zampa then found the cover boundary on the third ball of the final over from Taskin.

In Bangladesh’s innings, Litton Das (58) and Mosaddek Hossain (56) made unbeaten half-centuries to provide support for Hridoy, who scored his 13th ODI half-century.

Litton retired hurt on 48 with a muscle injury but returned to bring up his first ODI fifty at Mirpur.

Bartlett and Renshaw picked up two wickets apiece for Australia.

SCOREBOARD

BANGLADESH:

Soumya Sarkar b Bartlett2

Tanzid Hasan c Meredith b Renshaw19

Najmul Hossain b Renshaw24

Litton Das not out58

Towhid Hridoy c Carey b Dwarshuis83

Mosaddek Hossain not out56

Mahedi Hasan c Green b Bartlett3

EXTRAS (LB-11, W-18)29

TOTAL (for five wkts, 50 overs)274

DID NOT BAT: Taskin Ahmed, Tanvir Islam, Mustafizur Rahman, Shoriful Islam

FALL OF WICKETS: 1-2 (Soumya), 2-53 (Tanzid), 3-61 (Najmul), 3-153 (Litton, retired out), 4-246 (Towhid), 5-261 (Mahedi)

BOWLING: Bartlett 8-0-47-2 (4w), Meredith 7-0-41-0 (3w), Dwarshuis 8-0-55-1 (3w), Green 6-2-18-0, Renshaw 9-0-44-2 (1w), Zampa 10-0-48-0 (2w), Labuschagne 2-0-10-0

AUSTRALIA:

C. Connolly b Mustafizur149

J. Inglis c Mosaddek b Shoriful21

M. Renshaw b Shoriful0

A. Carey c Soumya b Taskin8

M. Labuschagne c sub b Shoriful29

C. Green c&b Mahedi27

O. Peake c sub b Shoriful27

X. Bartlett c sub b Shoriful0

B. Dwarshuis c Mahedi b Shoriful4

A. Zampa not out4

R. Meredith not out2

EXTRAS (LB-3, NB-1, W-2)6

TOTAL (for nine wkts, 49.3 overs)277

FALL OF WICKETS: 1-40 (Inglis), 2-40 (Renshaw), 3-70 (Carey), 4-134 (Labuschagne), 5-202 (Green), 6-266 (Peake), 7-266 (Bartlett), 8-270 (Dwarshuis), 9-271 (Connolly)

BOWLING: Taskin 7.3-1-59-1 (1nb), Mustafizur 9-0-56-1 (1w), Shoriful 10-1-48-6 (1w), Mahedi 10-1-37-1, Tanvir 7-0-38-0, Mosaddek 6-0-36-0

RESULT: Australia won by one wicket.

MAN-OF-THE-MATCH: Cooper Connolly.

Published in Dawn, June 15th, 2026

Vekic, who only got into the main draw as a lucky loser after defeat in qualifying, needed five match points to finally end Raducanu’s resistance and win her first title since 2023.

The 29-year-old began the final in devastating fashion, belting ferocious winners all over the court. Raducanu found her footing in the second set as she raced to a 5-2 lead. Vekic rediscovered her spark, though, and hauled herself back onto level terms, saving a set point as Raducanu led 5-4.

Vekic couldn’t seal the win as she missed championship pointed and as the match headed to a tiebreak, both players looked out on their feet.

Raducanu saved another match point but Vekic finally converted at the fifth attempt as Raducanu sent a groundstroke into the tramlines.

Published in Dawn, June 15th, 2026

The Trump administration said the United States had denied Artan entry for the World Cup because of his links to “suspected members of terror organizations”.

A source familiar with the matter said even though Artan will take no part in the World Cup, FIFA has committed to paying his salary.

Artan, Africa’s referee of the year in 2025, was set to become the first Somali to officiate at football’s global showpiece, but was turned back by US Customs and Border Protection.

However, he returned home to a hero’s welcome while European football body UEFA appointed him to officiate the UEFA Super Cup match between Paris St Germain and Aston Villa in August.

Published in Dawn, June 15th, 2026

Having conceded seven goals to Belgium on Saturday, Pakistan did well to do some damage control but still went down 5-1 to Spain as the two sides clashed for the first time since the 2012 Olympic Games.

The Spanish created several early chances, and the breakthrough came in the 11th minute from a long corner with Nicolas Alvarez providing the slick, one-touch finish to edge his side in front.

Pakistan had their first real chance off a penalty corner in the second quarter, but it was well kept out by Luis Calzado. At the other end, Ali Raza made a good save of his own off another long corner, but Pepe Cunill pounced on the rebound and fired in to make it 2-0 to Spain in the 23rd minute.

With just 12 seconds left in the half, Cunill added a third for Spain off a penalty corner to take them into the break 3-0 up.

Pakistan managed to pull one back in the 43rd minute, thanks to Abu Mahmood’s drag from a penalty corner. But just five minutes later, Spain had restored their three-goal cushion thanks to a Marc Reyne field goal. A defensive blunder led to Alvarez slotting in his second and Spain’s fifth in the 52nd minute, well and truly taking the game out of reach.

Published in Dawn, June 15th, 2026

Deepti Sharma, whose five-wicket haul helped India to win the 50-over World Cup final last year, took five wickets again for just 10 runs as Pakistan collapsed for 106, far short of the target of 171 in a battle of nerves in the Group A clash.

“I varied my pace in every ball,” said player-of-the-match Sharma. “I always believe... whenever the time will come I’ll step up for the team. That’s how I play and bowl.”

India and Pakistan engaged in a military conflict that nearly snowballed into a fully-fledged war last year. There has been a long freeze in bilateral cricket between the nuclear-armed neighbours, and they play each other only in neutral venues in multilateral tournaments.

There was no handshake between the captains once again as India’s Harmanpreet Kaur won the toss and chose to bat on Edgbaston’s slow wicket, but her decision almost backfired when Shafali Verma and Jemimah Rodrigues fell in the first four overs.

But Smriti Mandhana and Kaur, calm under pressure, added 91 runs for the third wicket. Pakistan captain Fatima Sana (2-33) caught Mandhana (68) in the 14th over and got Kaur (36) caught near the boundary soon after, arresting India’s momentum.

Under pressure again, India had a 21-ball spell when they could not hit a single boundary, before Richa Ghosh (34 off 17 balls) dug them out of that rut, hitting Tasmia Rubab for three fours and a six to collect 23 runs from the 19th over, getting them to 170-6.

Pakistan openers Muneeba Ali and Gull Feroza scored 37 off Indian seamers in the first four overs, forcing Kaur to bring on spinner Sharma early. Sharma turned the momentum in India’s favour, dismissing Feroza and Ayesha in her first two overs.

Fellow spinner Shree Charani (3-21) sent back Saira Jabeen early, before opener Muneeba Ali (41) got run out by Sharma’s direct throw, leaving Pakistan at 75-4. Fatima fell soon after for a duck, kicking off the collapse.

Sharma wrapped up the match with three wickets in the 17th over.

“The batting side was very disappointing. We need to step up as we have a long way to go... we got sloppy,” said Fatima.Earlier, Sharmin Akhter steered Bangladesh through a mid-innings wobble with a mature 37 not out as the Tigresses beat the Netherlands by six wickets at Edgbaston.

The Netherlands were playing in their first-ever T20 World Cup match and, after posting 139 for eight in their innings, they pulled Bangladesh back from 67 without loss to 85 for four.

Caroline De Lange took two wickets in two balls, including dangerous opener Juairiya Ferdous (50), but Sharmin and Shorna Akter helped Bangladesh to victory with five balls to spare.

Netherland’s captain Babette De Leede had earlier hit 50 not out to lead the side to a strong total.Late on Saturday, Shemaine Campbelle starred as West Indies timed their run chase perfectly to beat New Zealand by seven wickets in Southampton.

Aaliyah Alleyne took four wickets, including top scorers Brooke Halliday (40) and Izzy Gaze (39) as New Zealand were held to 162-6 from their 20 overs.

Wicket-keeper Campbelle was the driving force in the West Indies’ reply with a brilliant 90 not out from 62 balls, featuring seven fours and three sixes.

Captain Hayley Matthews chipped in with 48 from 37 balls as the West Indies reached 163-3 with one ball to spare.

Sisters Kathryn and Sarah Bryce shone as Scotland opened their campaign with a 40-run win over Ireland at Old Trafford.

Kathryn top-scored with 60 from 39 balls and Sarah weighed in with 49. The pair put on 106 for the third wicket as the Scots made 161-5 from their 20 overs.

Kathryn then took 2-19, including the match-clinching wicket of Aimee Maguire, as Ireland were bowled out for 121.

Published in Dawn, June 15th, 2026

Saudi Arabia arrive under new coach Georgios Donis, who has no international tournament experience and was appointed less than two months before the World Cup after a dramatic managerial upheaval when Herve Renard was dismissed in April.

Renard had secured his place in Saudi football history four years ago when he masterminded a stunning 2-1 victory over eventual champions Argentina in Qatar, one of the greatest upsets in World Cup history.

Brought back in 2024 after Roberto Mancini’s brief and unsuccessful tenure, the Frenchman was expected to restore the intensity and organisation that had made Saudi Arabia tricky opponents in Doha.

Instead, inconsistent performances and concerning defeats, including a 4-0 loss to Egypt and a 2-1 setback against Serbia in friendly matches, prompted a late managerial change before a daunting group featuring Spain, Uruguay and Cape Verde.

Donis, a former Blackburn Rovers and Sheffield United midfielder with extensive managerial experience in Saudi club football, now faces the challenge of reviving confidence in a squad that has struggled to build momentum.

Captain Salem Al-Dawsari remains the team’s talisman and greatest attacking threat, with memories of his iconic winner against Argentina still fresh in Saudi football folklore.

Uruguay, meanwhile, arrive under Bielsa seeking to prove that the veteran coach’s latest rebuilding project can deliver on football’s biggest stage.

Appointed in 2023, Bielsa has overseen a generational transition away from World Cup veterans such as Edinson Cavani and Luis Suarez, who scored the winner against Saudi Arabia when they last met at the 2018 World Cup.

Instead he has built a more balanced squad around a younger core led by Federico Valverde, Darwin Nunez and Ronald Araujo — who is a doubt for the opener due to a muscle issue.

Bielsa’s trademark high-intensity pressing style and quick transitions in attack have produced impressive highs, including victories over Brazil and Argentina in back-to-back World Cup qualifiers and a Copa America semi-final run in 2024.

But inconsistency remains a concern, with Uruguay finishing fourth in South American qualifying after mixing encouraging results with disappointing performances, including a heavy 5-1 defeat by the US in a November friendly.

Published in Dawn, June 15th, 2026

HOUSTON: Germany won their first opening match at a World Cup since lifting the trophy in 2014 as they eased to a 7-1 win against debutants Curacao in their opening Group ‘E’ match in Houston on Sunday.

The Germans will face stiffer tests against group rivals Ecuador and Ivory Coast but the win against the tiny Caribbean nation puts them in a good position to progress to the knockout stages for the first time since 2014.

An early German goal by Felix Nmecha was cancelled out by a deflected strike from Livano Comenencia which had the Curacao fans, known as the Blue Wave, out of their seats.

However, Nico Schlotterbeck, Kai Havertz with a double, Jamal Musiala, Nathaniel Brown and Deniz Undav scored to put to bed any possibility of one of the greatest upsets in World Cup history.

Germany settled early, Nmecha scoring a beauty in the sixth minute, receiving the ball from Florian Wirtz and curling the ball round a Curacao defender and past goalkeeper Eloy Room.

Nmecha went close minutes later with a rasping effort from outside the box. German goalkeeper Manuel Neuer had had little to do until Comenencia struck with a shot which took a deflection.Soon after the restart Schlotterbeck’s header was brilliantly turned over the bar by Room.

The Curacao defence cracked in the 38th minute after a period of stability when an unmarked Schlotterbeck headed home from a corner for his first goal for his country.

The Germans went into the break with a two-goal advantage as Havertz stroked home a penalty after Nmecha had been brought down by Riechedly Bazoer.

Germany struck 69 seconds into the second half, Musiala running on to Joshua Kimmich’s pass and scoring from a tight angle. Brown then fired home just before the second hydration break. Substitute Undav made it six.

Havertz rounded it off with his 24th goal for Germany to replicate the same scoreline as they famously recorded against hosts Brazil in the 2014 semi-finals.

Published in Dawn, June 15th, 2026

LOS ANGELES: Iran open their World Cup Group ‘G’ campaign against New Zealand in Los Angeles on Monday in a match shaped as much by events off the pitch as by the ambitions of two teams seeking a long-awaited breakthrough.

The fixture will be played against the backdrop of the US war with Iran and in a region home to the largest Iranian community outside the country, adding a charged atmosphere to a contest between two nations who have never met at the World Cup.

Iran’s participation had appeared uncertain in the buildup to the tournament because of the conflict. They also moved their base camp from Tucson, Arizona, to Tijuana, Mexico, leaving them to travel internationally for each of their three group-stage matches in the United States.

Reports of progress in negotiations aimed at ending the fighting have done little to ease tensions around the team, with Iranian football officials criticising FIFA after 15 members of Iran’s football federation were denied visas to travel for the tournament.

The mood in Los Angeles was evident during Friday’s opening ceremony at Los Angeles Stadium, when boos could be heard as the Iranian flag was carried onto the field. Iran will learn on Monday what sort of reception awaits them when they take to the pitch.

For Iran and New Zealand, the match also represents a chance to change familiar World Cup narratives.

Iran are appearing at a fourth successive

World Cup and seventh overall but have never reached the knockout stage. New Zealand, back at the finals for the first time since 2010 and making only their third appearance, are still seeking a first World Cup win.

Iran coach Amir Ghalenoei, the first Iran-born manager to lead the national team at a World Cup since Jalal Talebi in 1998, guided his side through Asian qualifying after they secured their place with a 2-2 draw against Uzbekistan in Tehran on March 25, 2025.

New Zealand booked their spot a day earlier with a 3-0 victory over New Caledonia in the Oceania qualifying final.

Darren Bazeley’s side will hope to draw on memories of 2010, when they were eliminated in the group stage but left South Africa unbeaten after draws with Slovakia, Italy and Paraguay.

Monday’s game will be the first World Cup meeting between the teams and the first time either has faced opposition from the other’s confederation at the tournament.

Iran arrive with the stronger recent tournament record.

They have won a group-stage match at each of the last two World Cups, beating Morocco 1-0 in 2018 when they earned a national-best four points in a group featuring Spain and Portugal and defeating Wales 2-0 in Qatar in 2022 with two stoppage-time goals.

Yet progress to the knockout phase has remained elusive.

New Zealand’s hopes are likely to rest heavily on captain Chris Wood, the country’s all-time leading scorer, who underlined his importance during qualifying with successive hat-tricks against Samoa and Fiji.

Published in Dawn, June 15th, 2026

On the first day to feature four matches at the expanded 48-team tournament, Qatar won the first World Cup point in their history when Miro Muheim’s own goal earned the 2022 tournament hosts a 1-1 draw with Switzerland.

Scotland, meanwhile, marked their return to the World Cup after a 28-year absence with a nervy 1-0 win over Caribbean minnows Haiti in Foxborough, outside Boston.

The meeting of Brazil and 2022 semi-finalists Morocco at the MetLife Stadium just outside New York City promised to be one of the early highlights.

Ismael Saibari ran through to give Morocco a 21st-minute lead with a clever scoop in the Group ‘C’ opener, but Vinicius produced a moment of magic to ensure Brazil came away with a point, cutting in from the left and unleashing a thunderous shot to level on 32 minutes.

Brazil are chasing a record sixth World Cup title, 24 years after last lifting the trophy, but Saturday’s performance suggests there Carlo Ancelotti’s side have a lot of work to do.

“I think this was a tough match, especially in the beginning. I think the team was a bit anxious and nerves were all over the place,” said Ancelotti.

“We didn’t play well, but we cannot lose heart. This was the result we had. It wasn’t bad, but we’ll keep picking up from the second match on. You don’t win a World Cup based on your first match.”

Vinicius, 25, rued Brazil’s sluggish start against a Morocco side that had been told by their coach to approach the match with no fear.Morocco captain Achraf Hakimi praised the display of the 2022 semi-finalists, who suggested they will again be a tough proposition in North America.

“Proud of the effort of the team, we drew, but we are happy for the performance of us. We still have to improve every game, so that is what we’re going to be focused on right now,” Hakimi told Fox.

Morocco coach Mohamed Ouahbi was left with the feeling that his team could, and perhaps should, have taken more from the contest though.

“It was a good match, it’s a point. We would’ve hoped to have more but we’ll take the point,” said Ouahbi. “We’re happy, we’re not sad today, but we would have liked to win.”

TARTAN ARMY

In Group ‘C’s other game on Saturday, Scotland — playing in the World Cup for the first time since 1998 — were roared on to a hard-fought win over Haiti, themselves playing in their first World Cup since 1974.

Hordes of Scotland’s famous “Tartan Army” travelling supporters packed the Gillette Stadium, to watch manager Steve Clarke’s side claim their first victory in a World Cup game since the 1990 finals in Italy.

After a deafening rendition of “Flower of Scotland”, the Scots started a physical contest on the front foot, and scored the game’s only goal on 28 minutes when midfielder John McGinn’s deflected shot flew past Haiti goalkeeper Johny Placide.

Haiti’s Frantzdy Pierrot headed narrowly wide in the 85th minute and threatened again in stoppage time but Scotland held on.

“Everyone said it was a must-win game — we won the game,” said Scotland manager Clarke, whose team face Morocco on Friday in their second game.

Scotland match-winner McGinn was optimistic his team can go on to reach the World Cup knockout stage for the very first time.

“This was our pressure game, we were the favourites going into it. Haiti are a very difficult opponent,” said McGinn, who had not scored for his country in over 18 months. “They have so many unique qualities that we are not used to playing against, so the important thing tonight was to get a clean sheet.

“Can we play a bit better? Of course we can. But this is brilliant, and we will go into the games against Brazil and Morocco with more gears to go up.”

Meanwhile, Haiti coach Sebastien Migne said that his side should be proud of their performance.

“When you play a match, what you’re trying to do is win,” he told reporters. “On one hand, I’m very proud of what the boys showed tonight. It was a very good showing, with some good football.

“When we know where we’re coming from, we rose to the challenge, but it makes it that much more frustrating that we came up slightly short.”

GAMBLE PAID OFF

In the Group ‘D’ clash in Vancouver on Saturday, Australia coach Tony Popovic’s gamble on youth paid off in his side’s surprise win over Turkiye in their World Cup opener, as Nestory Irankunda opened the scoring and goalkeeper Patrick Beach kept a superb clean sheet.

The result was dazzling vindication for Popovic, who had made the huge call to drop experienced captain and goalkeeper Maty Ryan in favour of rookie shot-stopper Beach.

Beach repaid Popovic’s faith in him with an unforgettable performance, making save-after-save to deny the Turks, who enjoyed 72 per cent possession and spent long periods camped in Australian territory.

At the other end, Australia took the few chances that came their way with clinical precision, the goals coming from Irankunda and Connor Metcalfe.

Another of Popovic’s selection calls also proved to be inspired, with Paul Okon-Engstler — starting in place of vice-captain Jackson Irvine — setting up Irankunda’s opener in the 27th minute.

Metcalfe made the game safe for the Australians with an individual strike in the 75th minute.

“Proud to be here as head coach, to experience this...and just happy for a wonderful young group of men,” Popovic said afterwards, before praising the contribution of inexperienced goalkeeper Beach.

“It’s something that we’ve always seen, and I’ve got a lot of belief in the young man. He stood up today, so very happy for him,” Popovic added.

Turkiye coach Vincenzo Montella lamented his side’s slow start to the extravaganza but said they still have time to recover from a humbling defeat.

“We are extremely saddened,” the Italian said. “We know there is still time to recover in the group stage. We know that in the beginning, the team has been a little bit slow.”

Turkiye struggled to match Australia physically, with the Socceroos outmuscling their opponents in challenges and getting their heads to the ball first at crosses and corners.

“They’re very tall, so it’s very difficult sometimes,” said Montella.

QATAR MAKE A POINT

Earlier on Saturday, Switzerland had taken the lead against Qatar in Santa Clara, California in Group ‘B’ when Breel Embolo converted a first-half penalty, but Muheim’s injury-time own goal secured a share of the spoils.

“I am very proud of the team,” said Qatar’s Spanish coach Julen Lopetegui.

“I told them that even if we hadn’t scored the goal and didn’t draw I would have been proud of the mentality and discipline that they showed today. But fortunately we scored and that was history.”

Switzerland were confident of having their best-ever World Cup run, but their journey became a whole lot more complex after an unfathomable bout of misfiring opened the door for unheralded Qatar to snatch a point.

The Swiss swagger was abundant in the blazing sunshine, as a side playing in their sixth successive World Cup delivered a crowd-pleaser by laying siege to the Qatar goal for almost the entire match, with a whopping 26 attempts.

While the match was historic for Qatar it was yet another one for the Swiss to forget in a tournament in which they’re seemingly cursed after round-of-16 exits in five of their last six appearances.

If Switzerland are to be dark horses at this World Cup, Yakin may have a lot of work to do.

“It really hurts a lot,” Swiss coach Murat Yakin said, describing it as two points lost. “Now we have to get back to the drawing board, assess the match and come back stronger.”

Published in Dawn, June 15th, 2026

Belgium arrive in North America among contenders to progress deep into the tournament despite being some way removed from the generation that delivered a third-place finish at the 2018 World Cup, the best result in the country’s history.

While Kevin De Bruyne, Romelu Lukaku and Thibaut Courtois remain key figures, coach Rudi Garcia has overseen a gradual transition towards a younger core led by Jeremy Doku, Amadou Onana and Charles De Ketelaere.

Belgium are expected to dominate possession, while Egypt defend deep and look to break through Mohamed Salah and Omar Marmoush.

Egypt are making only their fourth World Cup appearance and remain in search of a first victory at the finals after seven winless matches across previous tournaments.

The Pharaohs will take encouragement from the last meeting between the sides, when they claimed a 2-1 victory in a friendly in Kuwait in November 2022.

Monday’s match will also reunite Salah with Garcia, who coached the forward at AS Roma before his move to Liverpool.

Garcia acknowledged the threat posed by his former player.

“We have a huge amount of respect for the other three sides in our group,” Garcia told FIFA.com.

“This is what the World Cup is all about. We know Egypt well; they’re one of the best teams in Africa. I know all about Mo Salah as I coached him at Roma.”

Belgium have been mentioned as potential dark horses, but Garcia is reluctant to look beyond the group stage.

“Let’s start by respecting our group-stage opponents. Let’s beat them, finish top of the group, and then we’ll see how far we can go,” he said.

Published in Dawn, June 15th, 2026

What the budget actually did

All exemptions under the Automotive Industry Development and Export Policy (AIDEP) 2021-26, which were due to lapse on June 30, have thankfully been extended for another year till June 30, 2027. The sales tax exemption for completely knocked-down kits for locally assembled electric vehicles remains. The excise exemption stays. The customs concessions stay. The locally assembled electric car that a middle-class family has been eyeing pays nothing new.

New taxation has instead been reserved for the very top. As per the bill, imported fully built electric cars, SUVs, and pickups will now attract a levy based on import value: zero per cent up to Rs20 million, 30pc between Rs20 and Rs30m, and 40pc above that. Imported petrol cars between 2,000cc and 3,000cc face a 40pc excise (41pc above 3000cc), with electric vehicles exempted till June 2027. Hybrids, thankfully, have been left untouched.

Annual renewals are no substitute for a policy, so the National Electric Vehicle policy needs to be finalised before the current extension expires

Protecting the affordable end of the market whilst taxing luxury imports is the right call, and credit must be given where it is due. After years of policy flip-flops, a budget that gets the direction right is itself worth noting.

The one-year problem

However, calls for celebrations are early. The bill gets the most important thing wrong, and it is not a tax rate but a date.

AIDEP was a five-year policy, and that is precisely why it worked. Investors who set up electric vehicle (EV) assembly in Pakistan did so because the rules were guaranteed till 2026. That policy has now expired, and its successor, the long-promised National Electric Vehicle policy, is still nowhere to be seen. In its place, the industry has been handed a twelve-month extension.

No investor builds an assembly plant, a battery line or a charging network on rules that expire before the machinery clears the port

No investor builds an assembly plant, a battery line or a charging network on rules that expire before the machinery clears the port. The solar sector knows this all too well. This year’s proposed 18pc general sales tax on solar panels, thankfully, dropped from the final bill, but still moved market prices by Rs7,500 to Rs9,000 per panel on rumours alone.

Net-metering agreements were cut from seven years to five. Financing schemes have been extended and then left unfunded. The EV sector is now being run on the same one-year-at-a-time approach. Our problem, in effect, is not taxation but the short policy horizons.

A battery on wheels

There is also a bigger opportunity that the budget has missed entirely. An electric vehicle is essentially a battery on wheels. Pakistan’s rooftops now produce more daytime solar power than the grid can comfortably absorb, whilst our cars sit parked through exactly those hours.

An EV charged at midday runs on cheap Pakistani sunshine instead of imported petrol, easing pressure on the grid and the import bill alike. After the closure of the Strait of Hormuz earlier this year reminded us what dependence on imported fuel really costs, this is not a small detail.

But none of it happens on its own. It requires time-of-use tariffs that make midday charging cheaper than evening charging, and it requires charging stations to exist at scale. The Finance Bill provides neither, because electric vehicles are still being treated as a revenue line for the auto sector rather than as an energy policy.

The way forward

Three steps are highlighted here. Firstly, finalise the National Electric Vehicle policy with a proper five-year horizon, well before the current extension expires in June 2027. Annual renewals are no substitute for a policy.

Secondly, introduce time-of-use electricity tariffs so that the vehicles being protected charge when our rooftops are generating, and not at the 7pm peak that runs on imported fuel.

Lastly, commit a defined share of the new excise on large petrol cars to public charging infrastructure. If it is meant to be a carbon levy, it should behave like one.

The instincts in this Finance Bill are sound, and that deserves to be said plainly. What is missing is consistency: rules that survive longer than a single fiscal year, regardless of which government is running the show. Our economic and energy future depends on it.

The writer is an advocate of renewable energy and the CEO of Solar Citizen. Email: mujtaba.raza@solarcitizen.pk

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

The numbers show a government struggling to balance its ledger: total expenditure of Rs18.8 trillion financed primarily through an aggressive tax collection target from existing taxpayers and significant domestic borrowing. Relying on tax enforcement alone is a risky strategy, most analysts note.

The government has anchored its tax projections on GDP growth of four per cent and inflation of 8.2pc, targeting a fiscal deficit of 3.6pc of GDP against a primary surplus of 2pc. The Federal Board of Revenue’s (FBR) tax collection is estimated at Rs15.3tr, a 17.6pc jump from the current year’s revised estimates. The federal deficit will be financed through domestic borrowings and provincial cash surpluses.

The increase in the FBR collection target is based on expectations of GDP expansion and inflation, delivering 70pc of additional autonomous growth in tax revenue. The remaining 30pc increase will be generated through enforcement measures without any additional taxation or expansion of the tax base. This makes enforcement-driven revenue collection the budget’s most consequential gamble.

With FBR’s collection growth target resting heavily on untested institutional mechanisms at scale, the margin of error is very thin

The government has rolled out digital tools, including faceless, technology-driven audits, digital dispute resolution, and mandatory e-invoicing for all registered taxpayers, as well as requiring banks to share high-value transactions for cross-matching with tax returns.

“The mandatory e-invoicing requirement, which extends even to exempt supplies with non-compliance triggering business suspension, represents perhaps the most significant reform in the budget. It forces documentation across the entire supply chains rather than just at formal entry points,” according to a financial analyst at a brokerage firm in Karachi.

Specific revenue measures include shifting fast-moving consumer goods (FMCG) to the Third Schedule, thereby moving sales tax collection to the manufacturer and import stages at retail price, which broadens the documented tax net across food, personal care, footwear, household goods, and several other consumer categories. Other revenue measures include a 1pc fixed tax for small shopkeepers, withholding tax on social media income at 5pc, a new federal excise duty on petroleum solvents, and a special excise duty on imported vehicles above 2,000cc.

These ‘reforms’, the authorities believe, would help boost tax revenues.

With interest payments consuming 43pc of every rupee spent, development investment remains severely compressed

At the same time, the government has reduced withholding tax on export proceeds from 2pc to 1.25pc and halved the export facilitation scheme processing period to nine months, which should ease working capital cycles.

To keep tech investors from fleeing, the government has extended the 0.25pc concessionary export tax until 2029 to support exporters. The pharma industry also caught a break with duty exemptions on cancer medicines.

But the biggest winner is real estate, where controversial deemed income tax on property is entirely axed. Advance tax on property purchase has been simplified, and reduced on sale, eliminating the cumbersome filer and late-filer distinction. The capital value tax on foreign assets of resident Pakistanis has also been abolished. The Rs71bn allocation for the Prime Minister’s Apna Ghar housing scheme provides a demand-side catalyst.

These measures are expected to boost exports and industrial output, and help the government meet its overall tax and GDP growth targets. The strategy’s biggest hurdle is FBR’s poor track record. It has consistently missed its annual targets, including the one for the outgoing year. “Asking the same institution to now deliver tax growth, largely through untested enforcement mechanisms, increases the likelihood of potential mid-year revenue shortfall and a subsequent mini-budget,” a Lahore-based tax lawyer argued.

Most analysts contend that the relief announced for the salaried class and businesses will create a significant hole in tax collection, the size of which remains unclear at present. This would be in addition to the one targeted to achieve through enforcement.

Analysts view it as a stabilisation budget that leaves the country’s core fiscal challenges unaddressed. They argue that the budget leaves the fundamental structure of the country’s fiscal challenge unaddressed. With interest payments consuming 43pc of every rupee spent, development investment remains severely compressed.

Domestic bank borrowing needed to finance the deficit will sustain pressure on the banking system and crowd out private credit. And with FBR’s collection growth target resting heavily on untested institutional mechanisms at scale, the margin of error for FBR is very thin.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

For almost a decade now, successive governments have pinned their hopes on “Digital Pakistan” as the country’s growth engine and to help us escape our boom-and-bust cycles. The phrase is casually thrown around at every conference and op-ed, including the latest budget speech by the finance minister.

Before we get into what’s all in store for the upcoming year, let’s pause for a second and define the digital economy. Frankly, it’s not an easy task, let alone in Pakistan, where the statistical and data infrastructure was largely designed decades ago and has barely evolved since, barring a few exceptions. The best, albeit complicated, way to think about it is as a cross-cutting theme spanning sectors and functions, from infrastructure to service delivery.

At the bottom are the enablers: the telecom networks and fibre as enterprise infrastructure, plus mobile and computer accessories as hardware. Sitting on top of that are the earners: the tech or tech-enabled firms, such as software houses or e-commerce platforms, plus freelancers and content creators. Cutting across all of it is the consumption layer: the citizen buys something on Daraz, using InDrive, etc.

Given this premise, let’s review what the budget offered for Digital Pakistan. First, the telecommunication, computer and information services sector, arguably the most important, if not the biggest, due to its export-oriented mix and critical from a balance of payments perspective, has contributed $4.5 billion in forex inflows in the last 12 months. It enjoys a low tax rate of 0.25 per cent on remittance income, which has been extended for another three years to the tax year 2029-30. Basically, the government has maintained the status quo for now.

Steep tariffs on fibre and network equipment undermine the foundations of a truly digital economy

On the other hand, income received from social media platforms such as YouTube or TikTok will be taxed 5pc at source, up from the 1pc currently in place. This is a minimum rate for tax residents, meaning the actual liability depends on the relevant bracket. For non-residents, it will be the final tax.

However, it appears to be only for platform-based monetisation, ie direct payouts. Other revenues, largely from direct partnerships with brands, were already at least partly netted, as big advertisers typically withheld taxes. What remains to be seen is how they plan to apply this to non-tax residents, since they are unlikely to bring their platform payouts to Pakistan.

With respect to digital payments, there has been some meaningful change, as the government has proposed reducing the withholding tax on card transactions at foreign merchants to 0.5pc, down from the existing 5pc. This is targeted, though not limited to, individuals and businesses paying for subscriptions, such as streaming or artificial intelligence tools.

Now let’s put this in context. In 2025, Pakistani cardholders spent Rs528.7 billion across 119 million transactions. Of this, only Rs196.7bn and 50m were routed through locally registered merchants. Put another way, the majority of the spending, ie volumes of 69m worth Rs332bn, was on international platforms.

Currently, this chunk of spending faces high taxation in the form of federal excise duties, withholding, and forex fees, which add an extra cost of over 10pc. As a result, whoever can, at least among small businesses, is figuring out ways to pay with foreign-domiciled cards, whether through Payoneer, a foreign neobank, or the many stablecoin-backed wallets that have mushroomed lately. The latest move would reduce the price distortion a bit, though the penalty for a locally issued card still remains.

Which brings us, finally, to the enablers at the bottom. The budget does throw a few bones here and there: zero customs duty on SIM/smart-card raw materials, the omission of advance tax on SIM sales, and concessionary rates for internet service provider machinery. These are sensible, supply-side nudges that could lower the cost of building out the pipes that everything else depends on.

However, they remain incremental. For last-mile fiberisation, tariffs and duties remain extremely steep, around 70pc, for key equipment.

For Digital Pakistan to be a genuine growth engine rather than a slogan, the infrastructure, ie critical hardware, needs to be incentivised.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Unveiling the Pakistan Economic Survey (PES), Finance Minister Muhammad Aurangzeb announced provisional GDP growth of 3.7 per cent, up from 3.18pc in FY25, 2.6pc in FY24 and a marginal contraction of 0.2pc in FY23.

While marking a visible recovery in economic activity, growth remained below the government’s 4.2pc target. The size of the economy expanded to a record Rs126.9 trillion ($452.1 billion), with per capita income rising to $1,901 from $1,751 a year earlier.

Mr Aurangzeb noted that the recovery had taken place amid a slowing global economy, where growth eased to 3.1pc from 3.7pc. “We had expected growth to cross 4pc,” he said, citing regional instability and escalating conflict in the Middle East as key drags.

The standout performer was LSM, which rebounded by 6.1pc after several subdued years, with 16 of 22 sub-sectors posting growth

Despite external headwinds, macroeconomic stabilisation continued under the IMF’s Extended Fund Facility. Fiscal consolidation remained on track, with the Federal Board of Revenue collecting Rs11.23tr in taxes and the economy generating a primary surplus of 3.5pc of GDP. The standout performer was large-scale manufacturing (LSM), which rebounded by 6.1pc after several subdued years, with 16 of 22 sub-sectors posting growth.

Industrial momentum was broad-based: fertiliser consumption rose 17pc, cement dispatches 10pc, and petroleum product sales 5pc. Consumer-linked industries also strengthened, with automobile production surging 31pc and mobile phone assembly rising 9pc.

Overall manufacturing expanded by 6.6pc, while construction grew 5.73pc and mining and quarrying also posted gains. However, these improvements were partially offset by a contraction in electricity, gas and water supply services due to reduced subsidies, lower Wapda output and higher input costs.

Agriculture delivered a mixed performance, expanding 2.89pc against a 4.5pc target, improving from 1.53pc last year but still constrained by climate shocks.

The sector remained under pressure from the aftermath of severe monsoon floods, which caused widespread economic losses, displacement and disruption across rural areas. Climate-related disasters inflicted damages of around Rs822bn in 2025, affecting millions of people and reinforcing Pakistan’s high vulnerability to extreme weather events.

Despite contributing less than 1pc of global emissions, Pakistan remains among the most climate-exposed countries due to its geography and reliance on monsoon systems, with poverty impacts increasingly concentrated in rural regions.

Within agriculture, crop growth slowed to 1.44pc, supported by a strong wheat harvest that rose 4.3pc to 29.6 million tonnes, while maize declined. Livestock, however, continued to provide stability and now accounts for 14.6pc of GDP, cushioning rural incomes amid repeated climate shocks. The Economic Survey warned that lingering flood impacts could continue to weigh on employment and rural activity, posing downside risks to near-term growth.

At the policy level, climate resilience is emerging as a central priority. The government is advancing the Pakistan Climate Prosperity Plan, Green Taxonomy framework and the Monsoon 2026 Strategic Plan, alongside reforms under the International Monetary Fund’s (IMF) Resilience and Sustainability Facility

These initiatives aim to mobilise climate finance, strengthen disaster preparedness and shift policy away from reactive relief toward risk-informed development and resilient infrastructure.

The services sector, accounting for 58.42pc of GDP, remained the main growth driver, expanding 4.09pc and slightly exceeding the official target.

External accounts came under renewed pressure. Exports fell 5.4pc to $25.8bn during July–April FY26, while imports rose 8.5pc to $52.8bn as restrictions were eased to support industrial activity. As a result, the current account shifted from a surplus of $1.7bn to a deficit of $200 million.

This deterioration was partly offset by workers’ remittances, which rose 9pc, supporting external stability alongside improved foreign exchange reserves.

Inflation eased significantly compared to recent years, averaging around 7pc during the first 11 months, close to the 7.5pc FY26 target. However, monthly inflation spiked to 11.66pc in May 2026, raising concerns over price stability ahead of new fiscal measures.

The energy sector underwent a structural change during the year. Installed capacity increased by 8.5pc to 49,651MW, driven largely by rapid adoption of solar net metering, which added 7,319MW. The share of hydel, nuclear and renewables rose to 53.1pc, reducing dependence on imported thermal fuels.

Meanwhile, the information and communication technology (ICT) sector continued to expand as a key source of export diversification. ICT export remittances rose 19.7pc to $3.38bn (July–March), with projections of $4.5bn by year-end. Freelance exports surged 51pc to $856m, while registered IT companies crossed 34,400.

Digital infrastructure also expanded through over 50 Software Technology Parks. Policy initiatives such as the Digital Nation Pakistan Bill 2025 and the Artificial Intelligence Policy 2025 further reinforced the sector’s momentum, alongside preparations for 5G spectrum rollout and expanded fibre connectivity.

Despite these gains, structural weaknesses persist. Investment remains low at 14.4pc of GDP, while national savings have slipped to 14pc, underscoring persistent constraints on sustainable expansion.

Overall, the Economic Survey portrays an economy that has regained macroeconomic stability and achieved its highest growth in four years. Yet the central challenge remains unchanged: translating stabilisation into sustained, investment-led growth capable of generating jobs, improving productivity and lifting long-term living standards.

The Economic Survey admits that poverty in Pakistan remains elevated despite macroeconomic stabilisation, with the national poverty rate estimated at 28.9pc (up from 21.9pc in 2018-19). This rise is attributed to a “succession of economic shocks, including inflation, currency depreciation, floods and slower growth in incomes”.

Rural areas continue to bear a disproportionate burden, with poverty significantly higher at 36.2pc compared to 17.4pc in urban centres, reflecting deep structural inequalities in income distribution and access to economic opportunities.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

The households of a majority of salaried respondents are worse off this year than they were a year ago, according to Dawn.com’s annual pre-budget survey. Nearly 65 per cent of the 650 respondents described their household’s financial position as either “somewhat worse” or “much worse”.

The survey seeks to gauge how the previous fiscal year’s budget and broader macroeconomic conditions have affected household finances, and to identify the issues respondents believe policymakers should prioritise in the upcoming budget. The findings suggest that while macroeconomic stability has improved over the past year, the benefits have yet to translate into a meaningful improvement in living standards for much of the salaried middle class.

The survey largely captures the experience of urban, salaried households. About 83pc of respondents are salaried earners, most between the ages of 25 and 44. Roughly 70pc earn less than Rs300,000 per month, and a significant share of that income is absorbed by essential expenses, particularly food and groceries.

As in previous years, health, education, savings and leisure account for a relatively small share of household budgets. Health expenditure remained below Rs20,000 a month for nearly three-quarters of respondents, while around 40pc spent less than Rs20,000 on education. The data suggests that many households continue to prioritise immediate consumption needs over longer-term investments in human capital and financial security.

Kitchen expenses have seen the steepest rise as inflation eats into into the food and grocery budget. Transport costs tell a similar story.

The proportion of respondents spending more than Rs30,000 a month on transport has risen steadily from 11pc in 2019 to 49pc in 2026. Higher fuel prices, repeated increases in the petroleum levy and rising vehicle operating costs have all contributed to the increase.

Utility expenses exhibit a slightly different pattern. The share of respondents spending more than Rs40,000 a month on utilities rose gradually until 2023 before jumping sharply in 2024, when electricity tariffs and gas prices increased significantly as part of reforms linked to Pakistan’s IMF programme. Since then, the figure has declined and stabilised. One possible explanation is the growing adoption of rooftop solar systems, particularly among middle-income households, which has helped offset rising grid electricity costs.

Perhaps the most striking trend is the decline in savings and investment. In 2021, more than 36pc of respondents reported saving or investing over 10pc of their household income. By 2026, that figure had fallen to just 12.5pc. The deterioration coincides with the inflation shock of 2022-24, during which households increasingly drew down savings or reduced investments to maintain living standards. The findings suggest that even as inflation recedes, many households remain in a rebuilding phase, with little room to restore savings after several years of falling real incomes.

Taken together, the results paint a picture of households that have adjusted to a higher-cost economy. While macroeconomic indicators have improved relative to the crisis years, the gains have yet to translate into greater financial security for much of the salaried middle class.

Note: Graphs show percentage of respondents for each threshold. The ranges have been adjusted to account for inflation and economic changes.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

On June 12, 2026 — the same day Finance Minister Muhammad Aurangzeb presented Pakistan’s federal budget — President Asif Ali Zardari signed the bill, completing the last legal requirement for the privatisation of Pakistan’s national airline. In the budget itself, the finance minister announced the elimination of federal excise duty on international business-class travel and signalled that airports would be next in the privatisation queue, following the national airline’s model.

The aviation industry was resetting after Covid-19, having crossed $1 trillion in revenues. The year 2026 was expected to be a record year for the aviation industry. But then the Middle East crisis erupted. Not only were many major airlines forced to ground their planes for safety, but the blocking of the Strait of Hormuz massively increased jet fuel prices, forcing some weaker carriers out of business.

Since hostilities erupted in the Middle East, Pakistan’s aviation sector has also been facing both supply- and demand-side challenges. Despite the fact that Pakistan produces all its jet fuel, Pakistan’s airlines were severely impacted due to the substantial increase in crude oil prices required for jet fuel production.

Where such steep increases in cost momentarily threw feasibility out the window, challenging economic conditions and rising poverty, the national poverty headcount increased from 21.9 per cent in 2018-19 to almost 29pc in 2024-25. Deeply eroded overall purchasing power, in turn, has dented demand for air travel.

The government has removed FED on international business-class tickets and indicated airports will follow in the privatisation pipeline

The summer of 2026 presents Pakistan’s aviation sector with a paradox. Domestic tourists, ground down will think carefully before opting for air travel. And yet the opportunity on the other side of the ledger is larger than it has ever been. The Middle East, which had remained a top destination for international tourists for years, has effectively emptied out.

International tourists looking for alternatives are turning towards Pakistan’s North with genuine curiosity. So, where local tourism contracts, foreign tourism is positioned to expand. Is Pakistan’s aviation sector capable of capturing this opportunity?

It depends almost entirely on the quality of decision-making. Given severe cash flow pressures, every airline operating in Pakistan today needs a crisis management strategy that tracks cash flow daily, reads the revenue situation in real time, and triggers responses before a liquidity problem becomes a liquidity crisis.

Some carriers were already facing a cash crunch before this summer began. The combination of higher jet fuel prices, disrupted regional routes, and compressed domestic demand has not created fragility in Pakistan’s aviation sector. It has simply made pre-existing fragility impossible to ignore.

On the revenue side, the arithmetic is unforgiving. No aircraft should be flying at less than 95pc seat occupancy.

The periodic rerouting of international airlines away from Middle East airspace has created both a disruption and an opportunity — longer routes for some, new traffic patterns for others. Pakistani airlines that read this shift intelligently and position themselves on routes that international tourists now prefer will find revenue that was not there a year ago.

On the cost side one variable that deserves more attention: on-time performance. McKinsey’s State of Aviation 2025 report puts the cost of each additional minute of aircraft delay at $100. Pakistan’s airlines, where a one-hour delay is considered routine and a four-hour delay is considered merely inconvenient, are haemorrhaging money through a wound that is self-inflicted yet fixable.

The writer is a Fulbright scholar with a PhD in Economics. He writes on political economy, public policy and the structural challenges facing Pakistan’s key industries. Email: aqdas.afzal@gmail.com.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

The federal budget for FY27 is refreshingly forward-looking. It focuses on some of Pakistan’s most pressing structural challenges: broadening the tax base, continuing import tariff reforms, sustaining incentives for the information technology sector, and reviving the long-dormant construction industry.

The most politically sensitive measure is the relief provided to salaried taxpayers. Income tax rates have been reduced, while the income threshold for the highest tax bracket of 35 per cent has been raised from Rs4.1 million to Rs7m. The super tax has been abolished for individuals earning up to Rs500m and reduced by 20pc for higher-income taxpayers. The income tax surcharge has been eliminated altogether.

The tax collected on export proceeds has been reduced from 2pc to 1.25pc, while the capital value tax on foreign assets held by resident Pakistanis has also been abolished.

The budget also introduces measures to bring previously under-taxed segments into the formal tax net. Digital content creators and social media influencers will now be subject to withholding tax deductions through the banking system. The withholding tax regime on services has been revised, with separate treatment for independent professionals.

The most consequential reform is the transformation of the tax administration to a technology-driven, data-led model

At the same time, the reduced minimum tax rate applicable to distributors, dealers and wholesalers in certain sectors has been increased from 0.25pc to 0.5pc, although documentation and compliance incentives remain available.

Yet the most consequential reform in this budget is neither a tax increase nor a tax cut. It is the transformation of Pakistan’s tax administration from a discretionary, contact-based system to a technology-driven, data-led model.

The government is seeking to minimise direct interaction between taxpayers and tax officials and replace manual processes with automated compliance mechanisms. A National Faceless Centre will conduct audits, assessments and appeals through digital platforms, reducing opportunities for harassment, rent-seeking and corruption. A new automated settlement mechanism will allow taxpayers to resolve discrepancies without additional penalties or surcharges.

Banks and electronic money institutions will share data on high-value transactions electronically, enabling sophisticated cross-checks against tax declarations. Large retailers, wholesalers, and manufacturers will also be required to integrate their business systems with the Federal Board of Revenue to enable real-time transaction reporting.

If implemented effectively, these reforms could prove more important than any change in tax rates. Pakistan’s tax problem has never been simply one of rates; it has been a problem of enforcement, documentation and weak compliance. Technology offers a more sustainable solution than repeated tax amnesties or arbitrary enforcement drives.

Hundreds of tariff lines with very low duty rates have been eliminated altogether. Equally important, the government has reviewed and pruned the exemption regime, making the tariff structure more transparent while preserving concessions for industrial inputs.

The budget also pays particular attention to two sectors critical to future growth.

For information technology and IT-enabled services, the concessional tax rate of 0.25pc on export proceeds has been extended for another three years. Given the sector’s strong export potential, relatively low capital requirements and capacity to generate employment for educated youth, the decision is both economically sensible and strategically important.

Given construction’s extensive linkages with industries such as cement, steel, transport and services, some advance taxes and property transfer taxes have been reduced. Also, import taxes on construction machinery and logistics have been reduced.

On the trade side, the government has stayed the course on the tariff rationalisation roadmap set out in the National Tariff Policy 2025-30. Customs duties have been reduced across a wide range of products, while additional customs duties and regulatory duties have also been scaled back.

Changes in the sales tax regime are more modest. The emphasis is primarily on procedural reforms, accompanied by a handful of targeted exemptions covering sanitary products, electric vehicle kits and aircraft parts.

On the macroeconomic front, the budget sets ambitious but broadly credible targets. Tax revenues are projected to grow by 17.6pc, while non-tax revenues are expected to contribute Rs5.3 trillion. The government is targeting GDP growth of 4pc, inflation of 8.2pc and a fiscal deficit of 3.6pc of GDP.

These targets will not be easy to achieve. The global economy remains uncertain, geopolitical risks persist, and domestic political stability cannot be taken for granted. Nevertheless, the assumptions are not unrealistic if reform momentum is maintained and macroeconomic discipline continues.

Overall, the 2026-27 budget is a credible and reform-oriented document. Most importantly, it signals a decisive shift towards technology-based tax administration and data-driven compliance. If the government can sustain political commitment, resist pressures for policy reversal and finally bring undertaxed sectors into the formal tax net, this budget could mark an important step towards a more competitive, documented and growth-oriented economy.

The writer is currently working as a trade arbitrator and a member of the Tariff Policy Board. Previously, he has served as Pakistan’s ambassador to the World Trade Organisation

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Pakistan has spent three years swallowing bitter medicine, but this budget is the first to taste different.

GDP growth of 3.7 per cent, achieved despite flood losses and the shockwaves of an Iran-US war that threatened to derail the entire region, won’t make headlines on its own. But context matters, and the context here is extraordinary. Inflation has gone down from 22pc to 11.5pc, heading toward 7-7.5pc by the end of the year. Reserves have moved from $4 billion to $17bn. The fiscal deficit has nearly halved, from 7.8pc to 4pc. Moody’s, Fitch, and S&P have all upgraded us. Pakistan returned to international bond markets after four years, and the Euro Bond was oversubscribed.

Credit where it’s due: navigating one of the most dangerous geopolitical environments in a generation, without derailing the stabilisation programme, is no small achievement. Many economies would have used regional turmoil as an excuse to abandon discipline, but this government didn’t.

However, macro stability doesn’t pay anyone’s grocery bill. The real test of FY27 is whether discipline at the top converts into relief at the bottom, for the salaried class, exporters, retail, and industry.

The real test of FY27 is whether discipline at the top converts into relief at the bottom

Salaried class gets something back

For years, the salaried class has been the most squeezed, most documented, least defended segment of the economy, taxed at source, unable to evade, and ignored in every relief package. This budget breaks that pattern.

The tax-free threshold doubles from Rs600,000 to Rs1.2 million. The maximum salary rate drops from 35pc to 29pc, and the threshold for hitting that top rate has been pushed from Rs4.1m to Rs7m, with new intermediate slabs cushioning the climb. The surcharge on the highest salaried bracket, 10pc just two years ago, is gone entirely.

Thus, someone earning Rs500,000 a month saves roughly Rs13,000 monthly and at Rs 1m, the savings exceed Rs40,000. At Rs3m, nearly Rs100,000 stays in the pocket every month. This is the largest direct fiscal transfer to the documented middle class in recent memory.

There’s a quieter win too, as Section 7E, the “deemed income” tax on property you simply own, has been abolished. Anyone who has ever opened a tax notice for a house they never rented out will recognise what a relief this is.

A caveat is that this is predicated on the assumption that the Federal Board of Revenue’s target of Rs15.26 trillion, built on faceless assessment, AI-driven risk profiling, and full data integration with banks and property records, actually works. The relief is real. Whether it’s sustainable is now Islamabad’s problem to prove, not the Parliament’s.

Exporters get relief, challenges remain

The advance/withholding tax burden on export proceeds has been cut from 2pc to 1.25pc, which is a much-needed relief and definitely a move in the right direction. For exporters operating on razor-thin margins, this is real cash-flow relief, not a slogan.

But relief on tax rates doesn’t fix structural friction. The anomalies within the Export Facilitation Scheme, the delays, the documentation mismatches, and the inconsistent application across ports still need to be addressed. A good rate on a broken scheme is half a win.

And the bigger issue remains infrastructure. Pakistan cannot compete on speed-to-market with a port and rail network that still functions like a feeder system rather than a gateway. The ML-I railway financing and the construction of the Karachi section are welcome, but exporters need cargo moved from the factory to the vessel within days, not weeks. Until Karachi behaves like a hub rather than a feeder port, every tax cut competes with a logistics tax that nobody talks about.

The 0.25pc concessionary rate for IT exports has been extended to 2029, which the sector has repeatedly requested. Federal excise duty on machinery has been abolished, and 7,500 tariff lines rationalised, giving 120 business sectors cheaper inputs.

Super tax has now been abolished for exporters as well, another welcome signal that the burden on the export sector is genuinely being lightened, not just rearranged. Taken together, these signals indicate that Pakistan is shifting gears from stability to growth.

Positive steps for retail and real estate

The fixed tax system for small retailers and the doubling of the withholding exemption threshold for small traders to Rs200m are the kind of incremental formalisation that is desperately needed. It won’t transform retail overnight, but it nudges undocumented players toward the net without punishing them into hiding.

Real estate gets real attention, too. The advance tax on property transactions is cut to flat rates of 2.75pc and 1.5pc, and the capital value tax on foreign assets is abolished. Documentation finally costs less than evasion; that’s the test of any good tax policy.

The year ahead

Super tax is abolished entirely for incomes up to Rs500m, major relief for mid-sized businesses, though banks, fertiliser and exploration and production sectors remain excluded.

The numbers on paper this year are the best in a decade. The next twelve months will decide whether this budget is remembered as the year Pakistan turned the corner, or yet another missed opportunity.

The writer is Vice Chairman, Pakistan Business Council, and Chairman, Pakistan Retail Business Council.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

The budget serves as a reminder that the vast majority of Pakistanis in the middle of the social spectrum will continue to bear the cost of government missteps and the inefficiencies of inadequate physical and social infrastructure providers, in addition to the fallout of the volatile global situation and tensions with Afghanistan. In the fiscal year ahead, their relentless struggle to make ends meet and to provide a decent life for their families will remain all-consuming.

The proposed budget offers the salaried class a modest three to five per cent reduction in tax liability, applicable only for those earning at least three times the taxable monthly income threshold of Rs50,000. While the relief may be meaningful for its beneficiaries, excluding poor and lower-middle-class taxpayers, who arguably need support even more, is difficult to justify.

Unless policymakers attach value to retaining a larger number of lower-income taxpayers in the tax net, the rationale of this exclusion remains unclear.

Pakistan’s income tax compliance remains dismally low. A wide gap persists between the number of registered taxpayers and those who actually pay taxes. By some estimates, fewer than 5pc of adults in Pakistan pay income tax. Enforcing compliance is challenging in a cash-dominated economy with a vast informal sector and limited documentation.

Modest tax cuts offer limited comfort as inflation, fuel costs and economic uncertainty continue to squeeze middle- and lower-income households

In contrast, salaried employees are effectively captive taxpayers because their taxes are deducted at source. Meanwhile, successive governments have been reluctant to aggressively pursue powerful tax-averse groups, such as large farm owners, realtors and traders, fearing political backlash.

The war in the Gulf has pushed up oil prices and freight costs, raising the cost of trade, travel and transportation. It also threatens to disrupt supply chains. Meanwhile, the closure of Torkham and Chaman border crossings has hurt cross-border trade and adversely affected the livelihoods of communities that depend on border-related economic activities.

“Raising the taxable income threshold would have shrunk already narrow tax base. Without credible measures to offset the revenue loss and a fall in the number of tax filers from exempting lower-income salaried workers, the government considered the move too risky, particularly given the International Monetary Fund’s (IMF) sensitivity to any erosion of the tax base.

“The failure of last year’s Tajir Dost Scheme also undermined the confidence in the fixed-tax regime for traders introduced in the current budget, reinforcing the decision to leave the taxable income threshold unchanged,” an analyst said.

“Yes, it may seem unfair, but the government appears more concerned about satisfying its core supporters and the IMF. By refraining from raising the general sales tax [GST], increasing salary and pensions for public-sector employees, allocating additional funds to Benazir Income Support Programme, and lowering tax rates for taxpayers in the upper-income brackets, it likely believes it has done enough to provide relief,” an economist remarked.

Dr Rashid Amjad, former deputy chairman of the Pakistan Institute of Development Economics (BISP), was sceptical. He argued that the budget had effectively been negotiated with the IMF before its presentation, leaving little room for independent policymaking.

He questioned the government’s claim of shifting from stabilisation to growth, arguing that a cut in development spending would dampen growth while aggravating unemployment and poverty.

While welcoming the increase in the minimum wage, public sector salaries and pensions, and BISP allocations, he said these measures would offer limited relief in an environment of expected double-digit inflation and high petroleum levy. “The tax cuts for the middle class are more window dressing than meaningful relief,” he remarked. “All in all, it is a budget that tries to please everyone and ends up pleasing hardly anyone except the IMF”, he added.

The proposed budget lowers income tax rates for three upper-salaried income brackets, leaving the income threshold and tax rates on the two lowest income slabs unchanged. The rate for monthly incomes between Rs1,83,000 and Rs2,66,000 has been reduced to 20 per cent from 23pc; for incomes above Rs2,66,000 and up to Rs3,41,000 per month, it has been cut to 25pc from earlier 30pc; and for those earning Rs3,41,000 and Rs4,67,000 a month, the rate has been lowered to 32pc from 35pc. The annual surcharge on high-salaried individuals has also been abolished. Previously, a 9pc surcharge applied to income earners with a monthly salary exceeding Rs8,33,000.

Over the next financial year, low-salaried households are likely to further tighten their budgets to cope with rising inflation and high fuel costs. Many families may be compelled to supplement incomes by working longer hours or pushing more household members into the workforce. As spending on food, transport and utilities consumes a larger share of earnings, less will remain for housing, rent, education, healthcare and leisure. For many, saving will become impossible, forcing them to draw down assets to maintain basic living standards.

“Confronted with serious economic challenges amid a highly volatile global environment, any government would have struggled to balance fiscal responsibility with socio-economic goals while building public support. The task is even more daunting for Prime Minister Shehbaz Sharif’s coalition government, which must navigate the demands of political allies, powerful lobbies and stringent donors, leaving little room for manoeuvre.

“Within these constraints, delivering meaningful relief to the roughly 80 per cent of households that fall between the affluent and the poorest segments remains a formidable challenge. His team did try to make the budget people-friendly,” a supporter defended the government.

Beyond the routine political rhetoric condemning the government’s performance and its failure to match public expectations, most Pakistanis assess the federal budget primarily through its impact on their household finances. According to unverified online estimates, around 15-20 per cent of the population, including taxpayers, professionals, politically engaged citizens, analysts, media personnel and members of the business community, closely follow the annual budget process, tracking fiscal priorities, taxation measures and policy changes that shape the economic outlook.

Some analysts consider these estimates overly optimistic. “I would be pleasantly surprised if even five per cent of Pakistanis could meaningfully decipher the budget,” remarked one observer. “For most people, it appears to be little more than a juggling of numbers and a politically motivated accounting exercise. This perception persists largely because there is neither a serious effort within the power corridors to generate and utilise credible data to identify weaknesses in the framework, nor a genuine commitment to reforming it to make it people-centric and responsive to the interests of the majority.”

Others attribute the public’s limited interest and engagement in what is arguably the most important exercise in the country’s annual financial cycle to the government’s own conduct. “To conceal the cost of its inefficiencies and mask policies that disproportionately favour elite segments, budget makers deliberately make the process and its contents complex,” observed a retired civil servant.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Prime Minister Shehbaz Sharif’s tenure is the only four years in our history where growth hasn’t even touched 4pc Pakistanis are poorer than they were four years ago, paying more in direct and indirect taxes and suffering from 78pc inflation over the last four years.

As a nation, we exported less than last year, became more indebted, our unemployment is at a 20-year high, and poverty is higher today than 10 years ago. In short, our downward slide continued this year.

Does this budget recognise that Pakistan is on a downward slide? Hardly. Will this budget halt our economic slide by implementing major reforms on both the revenue and expenditure sides? No. This is a budget of Nero playing the fiddle while Rome was burning.

Yes, it has a little relief for salaried people and exporters. It reduced withholding taxes on property transfers. But it also adds a host of indirect taxes on manufacturers, distributors and wholesalers. This may increase the cost of many consumer goods. There is also relief for those flying in first or business class and for those using credit cards in foreign currency.

Some tax relief for the higher income brackets, some growth measures for the wider economy, some stimulus to the housing sector — that is the budget in a nutshell. Much of the budget’s hopes rest on successful tax collection by the FBR through tech-enabled yet untested methods. Whether it is the start of a sustainable growth trajectory, only time will tell.

Salim Raza
Former SBP Governor

With slight easing, stabilisation continues. Bearing diminishing linkage with growth frameworks, the budget becomes a one-year fiscal plan. Entrenched, rising expenses lead to high, cascading taxes. Revenue outcomes veer away mid-stream. Expenditures are — as a practical matter — inelastic. We end up with low Investment ratios (a third of our South Asia neighbours) and turgid GDP growth (about half our neighbours)The national budget is meant to leverage growth; its policy bias stimulates investment. Growth enables fiscal flexibility. Based on our own resources, sustainable growth could be led, illustratively, by a recurring focus on three areas: enhanced agricultural productivity; reinforced domestic industrial supply chains; and reducing cash outside banks, from 37pc of deposits to nearer the 17pc of our neighbours. Agriculture needs singly managed policies for galvanising mechanisation, storage and processing. Given pervasive reliance on imported intermediate goods across our industry, GDP growth becomes import-led, reversing as we cross 5pc; SMEs must progressively indigenise intermediate goods in identified sectors. Cash entering banks mobilises a multiplier impact on deposits. A broader deposit base will ameliorate the chokehold on banks’ ability to act as engines of private-sector growth, posed by the government’s present acquisition of three-quarters of ‘banks’ loanable assets.

Mushtaq Khan
Founder, Doctored Papers

To understand this budget, it is important to flush out the center-province standoff that delayed it: (1) the IMF wanted the government to expand the tax base to capture retailers, agriculture, and real estate; (2) these taxes are the responsibility of the provincial governments; (3) provincial governments were more interested in increasing their share of the NFC awards, and threatened the center with insufficient cash surpluses that are required for the Extended Fund Facility; (4) the National Economic Council meeting was postponed four times, hinting that the ruling coalition could break; (5) the Establishment stepped in and wanted a strategic allocation to fortify Pakistan’s security; and (6) the provinces agreed to reduce their development budgets, but not to tax their constituents.

The FY27 budget follows the IMF’s austerity roadmap, but without the necessary reforms. The FBR revenue target is now a quantitative performance criterion, which means a revenue shortfall next year will require additional intra-year tax collections. Institutional reforms have been put on the back burner, while new revenues will come from removing tax exemptions, stricter enforcement, settling tax cases in the government’s favour, fuel levies, and further squeezing captive payers. In other words, this is a status quo budget that will please few.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

The agriculture sector might be one of the government’s priorities, but it sadly didn’t get any noteworthy mention in the 2026-27 speech of the federal finance minister.

The Economic Survey 2025-26 reported 2.89pc growth in the farm sector despite the 2025 floods (largely in Punjab province), which the government claimed caused Rs822bn in economic losses. However, if the farm sector grew by 2.89 pc, then such growth is driven by the agriculture sector’s resilience. Major crops have grown by 1.44pc, while livestock, being part and parcel of the larger agricultural landscape, have grown by 3.75pc.

It is anybody’s guess why the finance minister failed to point out anything specific for the farm sector, despite the fact that the agriculture sector employs 33pc of the country’s population.

The finance minister did refer to water resources and mega projects. However, the low-hanging fruit of improving water productivity, horticulture, and developing the oilseeds sector was not targeted.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Pakistan’s FY27 budget is largely a run-of-the-mill exercise for the agriculture sector. It is purely based on a simplistic incremental approach. It lacks innovative or even notable initiatives that could serve as catalysts to boost crop production, which grew by only 1.44pc in FY26 after negative growth in FY25. Such weak performance remains well below Pakistan’s population growth rate of 2.55pc. The budget appears to overlook the widening gap between crop production and the country’s growing food requirements.

Due to the war in Iran, FY27 is likely to prove challenging for the agricultural sector worldwide, including in developed economies. The war has caused a steep rise in oil prices, significantly increasing the cost of crop production and logistics. It has also disrupted fertiliser manufacturing and supply chains in the Middle East. Moreover, the rise in oil and gas prices has led to higher fertiliser prices.

Farmers in several countries, particularly those dependent on imported fertiliser, are likely to either skip the next crop or reduce fertiliser application to a minimum level. The natural outcome of these developments will be a decline in food production, ultimately triggering food inflation worldwide. Pakistan will not be an exception. For a country with a poverty rate of over 44pc, such a situation would be particularly disastrous. In the current budget, the government appears to have failed to recognise this looming threat, with little on offer to help farmers increase crop production, except for subsidised Rs300bn in agricultural credit for smallholders.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Against this backdrop, they argue that the budget speech and accompanying documents appear to have all but forgotten a sector that contributes nearly a quarter of the country’s gross domestic product (GDP), employs around 33 per cent of the workforce, feeds the nation, supplies raw materials to industry and underpins the rural economy.

They point out that there is hardly any mention of agriculture, let alone any meaningful policy direction, planning or allocations. As a result, farmers say they feel abandoned and powerless.

Khalid Khokhar, who heads Pakistan Kissan Ittehad, one of the country’s most active farmers’ organisations, sums up the mood within the farming community: “We had an idea of what was coming when the prime minister convened a meeting of farmers and other stakeholders barely two weeks before the budget — when the entire preparation process had effectively been completed — merely to constitute a committee for proposals.

Without putting agriculture at the centre of economic planning, food security and growth will be harder to achieve

Throughout the budget-making exercise, the finance minister never bothered to engage with farmers or seek their input. If farmers and their sector were forgotten during the preparation stage, they were naturally destined to be excluded from the final product. But still, the level of callousness is devastating for farming and the lives of its practitioners.”

Echoing this sense of exclusion from policymaking, Muhammad Arshad, a small farmer from the outskirts of Lahore, says this year farmers had just one SOS — save our souls — plea and expectation: make agriculture economically viable. Instead, he says, the government ignored them entirely.

The widening gap between food imports and exports should have served as a wake-up call to policymakers about the strategic importance of agriculture

Over the last three years, the sector has been battered on two fronts: a relentless rise in production costs and market manipulation that triggers price crashes when crops reach the market, and farmers suffer existential losses.

While the federal government may argue that agricultural markets fall within the domain of provincial governments, it cannot evade responsibility for soaring production costs, which it directly influences through fertiliser and energy prices, taxation, and subsidy policies.

Yet, not a single line addressing these concerns can be found in the 53-page budget speech or the voluminous accompanying documents. In fact, the speech contains only two brief references to agriculture – one regarding loans under the Zar Khaiz (fertile) Scheme and the other on storage services. For farmers, Mr Arshad rues, this represents apathy at its worst.

The concern over policy neglect is further reinforced by worsening external balances in the sector. “If this year’s food import bill has not been enough to wake policymakers up, I have no idea what else will,” says Nasir Malik, a Lahore-based food importer. According to official figures, the country’s food import bill rose by 15pc this year to exceed $7 billion. In contrast, food exports fell by a staggering 34pc to $3.8bn.

“Isn’t it a national embarrassment for a country that prides itself on being an agricultural economy — a claim borne out by its own statistics?” he asks. “The country loses more than $3bn in foreign exchange on the food account and then goes around seeking a $1bn tranche from international lenders. How unfortunate is that?”

He argues that the widening gap between food imports and exports should have served as a wake-up call to policymakers about the strategic importance of agriculture, but laments that the budget offers little indication that these concerns have been taken seriously.

This disconnect becomes even more critical when viewed against growth requirements for the wider economy. If Pakistan is to achieve its targeted economic growth rate of 4pc in the next fiscal year, the agriculture sector will have to expand at nearly twice that pace, argues agricultural economist Muhammad Zubair. Accounting for roughly a quarter of the country’s GDP, agriculture remains the single most important driver of economic growth.

After posting disappointing growth rates of 1.53pc and 2.89pc in the previous two years, the government has set a target of 3.6pc for the sector in the coming fiscal year. “But how is that supposed to happen?” asks Mr Zubair. “Where is the policy? Where is the planning? Where is the money? No one knows.”

He contends that even if some miracle enables agriculture to achieve the targeted growth entirely on its own, it may still not be sufficient to propel the overall economy to the government’s 4pc growth target. Without a coherent strategy, adequate investment and supportive policies, he warns, the broader growth objective could remain elusive.

Taken together, the farmers highlight a widening gap between budgetary priorities and the realities of agriculture. With rising food imports, stagnant productivity and soaring production costs, they believe lip service, isolated schemes and token references will no longer work. Without putting agriculture at the centre of economic planning, food security and growth will be harder to achieve.

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

For much of the four years, Pakistan’s fiscal budgets have been defined by one overriding objective: stabilisation. Under the International Monetary Fund (IMF) programme, the government seems to have no choice other than to focus on fiscal consolidation, external sector stability and revenue mobilisation. But after a long stretch of austerity, there finally appears to be a signal that the stabilisation phase is finally behind us and the economy is ready to transition into the growth phase.

From a capital markets perspective, the budget is relatively uneventful with no major changes to the taxation of equities or investment income. However, the reduction in super tax for most sectors is set to provide a meaningful boost to corporate profitability in the listed and unlisted space. While the benefit excludes sectors such as banks, fertilisers and oil exploration companies, the impact can still be significant for companies operating in other sectors. Based on the State Bank of Pakistan’s unconsolidated financial data of non-financial listed companies, 216 listed companies can be expected to benefit from a reduction in super taxes (excluding the ones that are not profitable).

While the relief measures for households and businesses have attracted much attention, the government’s continued preference for the real estate sector can’t be overlooked. By reducing withholding tax on property purchases from 2.5 per cent to 1.25pc and property sales from 5.5pc to 2.75pc, policy makers are eyeing a GDP growth rate of more than 4pc, reinforcing the government’s idea that construction remains one of the quickest ways to stimulate growth and employment across a range of allied sectors such as cement, steel, glass, etc.

This strategy closely resembles the incentives extended to the real estate sector following the Covid-19 pandemic, which were accompanied by the launch of the Naya Pakistan Housing scheme. While the programme’s target was barely achieved, the incentives definitely contributed to a construction boom, with cement industry utilisation reaching nearly 83pc.

For the equity market, the budget is positive as it avoids surprise tax measures and provides targeted support through lower taxes, reduced transaction costs, and duties

The surge in activity was also reflected in the equity market, where the cement sector index rallied by 61pc as compared to the total return of the KSE-100 index of 36pc in FY21. Given the current budget’s similar tone and the incentives being offered to the real estate sector, it would not be surprising to see a renewed pickup in construction activity and a rerating of related sectors.

However, the 2023 economic crisis also highlights the risks associated with construction-led growth. Key inputs used by construction-related industries remain heavily import-dependent: for cement manufacturers, it is coal; for steel players, it is billets and steel scrap. Therefore, while the sector can provide a short-term boost to growth and employment, its long-term sustainability will depend on whether the economic benefits will outweigh the external sector costs.

Beyond real estate, the government has also attempted to support pharmaceutical companies by abolishing customs duties on key raw materials used in the local manufacture of medicines that treat cancer and other diseases.

Based on SBP data, 216 listed companies can be expected to benefit from a reduction in super taxes

Moreover, while acknowledging the investment and economic activity that have been generated, and following the entry of new automobile assemblers in the country, the government has decided to continue incentives for electric vehicles for one more year and to impose higher duties on imported luxury vehicles, while the sector still waits for the new auto policy.

Indeed, no relief comes without a cost, so the question arises as to how the government intends to pay for this transition. This year’s budget is built around an ambitious assumption that an economy transitioning from stabilisation to growth can support tax relief and deliver an 18pc increase in the collection of the Federal Board of Revenue.

While the relief measures are visible and immediate, the corresponding measures appear comparatively modest. However, one mode of revenue worth mentioning in this year’s budget is the anticipated transfer of around Rs1 trillion from the provinces under Article 164, a provision that effectively allows the federal government to claw back a portion of provincial allocation.

Nonetheless, for the equity market, the budget is likely to be viewed positively, given that it avoids surprise tax measures that had unsettled investors in previous years and instead provides targeted support to sectors through lower taxes, transaction costs, and duties.

The writer is an analyst at Karachi School of Business and Leadership’s InsightLab

Published in Dawn, The Business and Finance Weekly, June 15th, 2026

Press to review preparations for the printing of provincial budget books for the fiscal year 2026–27.

During the visit, officials briefed Mr Saleem on various stages of the printing process, quality assurance measures, and timelines for completing the budget documents. He expressed satisfaction over the progress made so far and noted that the arrangements were proceeding according to schedule.

Mr Saleem directed the relevant officials to ensure that all printing work is completed within the stipulated timeframe while maintaining the highest standards of quality and security. He stressed that the timely preparation and delivery of budget documents is a matter of critical importance and should not face any delays.

The additional chief secretary also instructed officials to strengthen administrative oversight, interdepartmental coordination, and quality control mechanisms to ensure that all budget books are finalised ahead of schedule.

Published in Dawn, June 15th, 2026

The plan was finalised at a meeting on law and order, security arrangements and interfaith held in the provincial capital. The meeting was attended by senior civil and military officials, police leadership, district administration, scholars from different schools of thought, and representatives of the business community.

The meeting was attended by religious scholars Allama Syed Hashim Moosavi, Anwarul Haq Haqqani, Qari Abdul Rahman Noorzai, Dr Atta-ur-Rehman, Mufti Mahmood Ahmed, and others, along with representatives of traders’ associations and peace committees.

Speaking at the meeting, Inspector General of Police, Balochistan, said that security would be ensured for all Imambargahs, mosques, processions, and gathering routes during the holy month.

Religious scholars pledge to promote interfaith harmony, discourage sectarian hatred and rumours during the holy month

He said a comprehensive deployment plan had also been prepared, under which personnel of police and other law-enforcement agencies would be deployed across sensitive areas.

He said the CCTV monitoring and live surveillance systems would be activated throughout the city, while aerial surveillance would also be conducted for major processions on the 9th and 10th of Muharram. Snipers would be deployed on rooftops along sensitive routes, and female police personnel would be assigned to women’s gatherings and processions.

Religious scholars at the meeting highlighted the significance of martyrdom of Hazrat Imam Hussain, his family members and companions in Karbala and pledged to promote interfaith harmony, discourage sectarian hatred, and counter misinformation and rumours.

They urged the people not to rely on unverified information and seek guidance from official sources.

It was mutually agreed that mosques, Imambargahs, and local communities would actively promote unity, peace, and religious tolerance during the sacred month.

The religious scholars also pledged to highlight themes of national unity and brotherhood in their sermons and speeches, especially in Friday sermons.

Organisers of Muharram processions assured full implementation of security SOPs and pledged close coordination with law-enforcement agencies, religious scholars and members o peace committees.

The deputy commissioner’s office will remain operational to ensure gas supply coordination with Sui Southern Gas Company, while the health department will provide emergency services and ensure ambulance availability, medical staff deployment and adequate medicine supplies during the holy month.

Published in Dawn, June 15th, 2026

QUETTA: In a major development aimed at safeguarding national resources and restoring the writ of the state, the National Accountability Bureau (NAB) Balochistan, in collaboration with the provincial government, has successfully reclaimed state land worth billions of rupees.

The operations were carried out in line with directives issued by NAB headquarters, with a focus on eliminating land encroachments, promoting transparent accountabi­lity and ensuring recovery of looted national assets. The initiative was undertaken on the instructions of the chief minister of Balochistan, with the active support of the provincial government, Board of Revenue and Forest Department.

According to details, preliminary scrutiny of forest land in 2025 revealed that no formal government record existed for the transfer of approximately 2.8 million acres of land belonging to the Forest Department. Taking serious notice of this lapse, NAB Balochistan launched prompt and across-the-board action under the directives of the NAB chairman.

During 2025 alone, more than one million acres of state land were retrieved, resulting in recoveries estimated at Rs1,370 billion — one of the largest land recovery operations in Pakistan’s history.

Maintaining the momentum, operations were intensified in 2026, leading to the recovery of around 260,000 acres of land in Quetta, Sibi, Sherani, Hub, Lasbela and Gwadar, with a total estimated value of Rs414.2 billion.

In Quetta, over 47,000 acres were reclaimed, translating into recoveries worth Rs363 billion. Similar operations in other districts yielded significant results: approximately 176,000 acres in Gwadar (Rs25 billion), 17,000 acres in Lasbela (Rs2 billion), 153 acres in Hub (Rs500 million), 15,000 acres in Sherani (Rs29 billion) and 2,861 acres in Sibi (Rs2 billion).

The success of the operation was made possible through strong inter-departmental coordination. The senior member Board of Revenue (SMBR) Balochistan and the Forest Department played key roles, underscoring the importance of institutional collaboration in achieving such outcomes.

NAB reiterated its commitment to a zero-tolerance policy against corruption and land mafias, vowing that illegal occupation of state land would not be tolerated under any circumstances. It said all actions would continue in a transparent, law­­ful and non-discriminatory manner.

Meanwhile, it is worth mentioning that NAB has prioritised the recovery of remaining encroached land and is introducing modern land management systems to prevent future irregularities. Efforts are underway to digitise land rec­o­rds and strengthen monitoring mechanisms, with the digitisation of Gwadar’s land records now in its final stages. The reclaimed land is being handed over to the Forest and Wildlife departments to ensure its utilisation for public welfare.

Published in Dawn, June 15th, 2026

HYDERABAD: The Indus River System Authority (Irsa) has increased releases downstream of Chashma Barrage to meet Sindh’s water requirements, but not before substantial damage had already been inflicted on the sowing of summer crops across the province.

Improved releases of 200,000 cusecs were made downstream of Chashma on June 13 and 14. However, it is estimated that the additional water would take five days to reach Guddu Barrage and another seven days, meaning 10 to 12 days, to reach Kotri Barrage, where shortages are most acute.

Sindh’s indent is supplied at Chashma Barrage despite repeated demands that it should be released at Guddu Barrage to minimise transit losses

According to updated flow data, the 200,000-cusec increased flows include Sindh’s indented supply of 160,000 cusecs sought on June 11, The remaining flow covers the water allocated for Taunsa barrage and Balochistan.

Persistent water shortages have triggered strong protests in Sindh. The Sindh chief minister sought the prime minister’s intervention to “defer the filling of dams” to meet the province’s water needs, irrigation minister Jam Khan Shoro questioned Irsa, and PPP lawmakers raised the issue during the budget session in parliament.

The collective pressure from farmers’ bodies, political parties, parliamentarians and the Sindh government appears to have contributed to Irsa’s decision to increase releases over the last couple of days that it was apparently holding at Chashma.

Irsa was increasing pond level at Chashma barrage since early June while Sindh was desperately seeking water to feed its perennial and non-perennial canals. This was evident from water flows observed at Chashma and Sindh’s barrages in last few days. Chashma barrage also serves as storage facility for Irsa.

Irrigation officials and experts noted that on June 4, when Sindh sought 130,000 cusecs, Chashma released 138,000 cusecs downstream including share of Taunsa and Balochistan. Still, the barrage’s pond level rose from 643.5 feet on June 4 to 647.6 feet by June 7 when Sindh’s canals needed flows for kharif sowing. The maximum pond level at Chashma is 649 feet.

“Enhanced pond levels indicated that water was being stored at Chashma at a time when Sindh urgently needed it for sowing,” said an expert.

He noted that the 138,000-cusec release also included allocations for Punjab’s canals through Taunsa Barrage and Balochistan’s Kachhi Canal.

“If all these requirements, including Sindh’s share, were to be met, then around 165,000 cusecs should have been released from Chashma,” he said.

After strong protests, Irsa began reducing Chashma’s pond level after June 8 with a marginal drop (647.6ft on June 7 to 647.4ft on June 8 and 643.9ft on June 14). Outflows increased from 150,000 cusecs to 178,000 cusecs for Sindh on June 10, 180,000 cusecs on June 11 and 12, and finally 200,000 cusecs on June 13.

However, the benefits will not be immediate because of the travel time between barrages. According to one assessment, the 200,000-cusec release of June 13 will reach Guddu on around June 18 or 19. “The percentage shortage at Kotri will see a drop only sometime later,” said an irrigation source.

“Guddu [barrage] will receive increased flow on June 15-16 which was actually released from Chashma on June 10 (178,000 cusecs). Likewise, flows increased after June 10 will reach Guddu and Kotri [barrages] accordingly.”

Flows into controversial Chashma-Jhelum and Taunsa-Panjnad link canals continued as the two respectively withdrew 16,500 cusecs and 12,000 cusecs of water somewhat more than Kotri had on Saturday i.e., 11,275 cusecs against its accord-based requirement of 32,500 cusecs, thus recording 65pc shortage. The shortfall stood at 35pc at Sukkur Barrage, 46pc at Guddu and 65pc at Kotri against their requirements.

Damage done, losses imminent

Nadeem Shah, a grower, had transplanted paddy’s hybrid seed last year by this time. “This year nursery is dying,” he said from Sujawal, an area fed by Kotri barrage’s Old Phuleli canal which experienced 61pc shortage on June 14. “Hybrid variety, if not transplanted in 40 days, loses vigour and yields compromised.”

His upper Sindh counterpart, Ishaq Mughairi, noted that “we have not prepared nurseries because our distributaries don’t have water”. His area was fed by Sukkur barrage’s North Western Canal which was bearing 46pc reduction in flows on June 14, only second after the barrage’s Dadu canal that was reporting 68pc shortage till June 14.

Sindh Chamber of Agriculture Senior Vice Chairman Nabi Bux Sathio pointed out that had the province’s parliamentarians called the National Assembly session in a timely manner to raise the issue or the Sindh CM written letter to the premier much earlier, the situation might have been different. He was referring to CM’s June 11 letter addressed to PM on the worsening water situation in Sindh.

He explained that local paddy varieties C-9 and Irri-6 were early sowing varieties and needed to be sown in nurseries in early June. “Since farmers didn’t get adequate price for hybrid seed varieties that can be grown as late as June they were reluctant to grow it this year. Now, they will again have to go for these varieties that can be grown as late as June,” he said.

Meanwhile, Irsa has written to Wapda’s member concerned, urging immediate steps to fulfil its indents through the operation of Tarbela’s Tunnel-4 low-level outlet.

According to sources, Irsa informed Wapda that despite successful testing of the outlet in May, releases from Tarbela remained below indented requirements between June 10 and June 14. Irsa warned that failure to meet these requirements could aggravate shortages in the provinces at a critical stage of the kharif season.

Published in Dawn, June 15th, 2026

In a policy brief released on Saturday “From Pio­neer to Performer: Mak­­ing Khyber Pakhtunkhwa’s Ri­g­­­­­­ht to Information Act Work Against Disinforma­tion”, Fafen urged the KP Assembly and gov­­­­ernment to launch targeted legal and institutional reforms to transform the framework in­­­­­to an effective mechanism for proactive disclosure and public accountability.

Fafen’s assessment of 190 provincial public bodies’ websites found a stark implementation gap: on average, public bodies proactively disclosed only 57 per cent of the information the law requires them to publish.

In its policy brief, Fafen identified three main legal flaws and two institutional gaps holding back the Act. It noted that the definition of “public body” was excluded many private entities and NGOs that receive public funds, subsidies, tax concessions or government contracts.

Fafen recommended widening the “public body” definition to cover all private/NGOs receiving public money directly or indirectly. “Citizens should have the right to inspect works and documents, obtain certified copies, and receive information electronically,” it maintained.

It suggested an audit of the annual accounts by the Auditor General of Pakistan and tabling the same before the KP Assembly and Public Accounts Committee.

Also, it called for the introduction of digital tracking of RTI requests with email/SMS notifications at each stage of processing. It also stressed the need to develop an RTI mobile app and allow virtual hearings to reduce access barriers for citizens in remote districts, and mandatory, tailored disclosure formats for different categories of public bodies.

Published in Dawn, June 15th, 2026

On June 10, a nine-year-old girl was killed and her father and brother were injured aft­er the police opened fire at their car in Chakwal, mistaking them for robbers. All of th­­­­em were Australian nationals.

Adil Ahmad arrived in Pakistan from Makkah with his wife Sidra Khan, 10-year-old son Aqan Ahmad and daughter Hania. He told the inquiry officers that at 9pm on June 10, he was going to attend a family function at his in-laws’ residence in Chakwal. As the car reached outside the CCD’s office, two armed men held them up at gunpoint, snatched valuables from his wife

Suddenly, he heard heavy gunfire and the suspected robbers taking shelter in his car responded to the firing. Mr Ahmad said that he rushed the car to get out of the range of the firing, but many bullets pierced into the body of the vehicle, injuring him, his daughter and son. The wife escaped unhurt, but his daughter later succumbed to fatal injuries.

CCD chief calls shootout ‘a deviation from SOPs’; probe on

“The conduct of the officer involved has represented a grave deviation from our established Standard Opera­ting Procedures (SOPs) and the legal standards governing the use of force,” Sohail Zafar Chatha, Punjab CCD Addi­tional IG, told Dawn.

Quoting the findings of an inquiry, he said that the CCD personnel intervened during an armed robbery in progress. Armed robbers had intercepted the family vehicle, holding the occupants at gunpoint. During the ensuing confrontation, an exchange of gunfire occurred after the suspects opened fire on the responding officer.

“In the ensuing chaos, the officer involved mistakenly assessed that the suspects were attempting to flee in the victims’ vehicle and discharged his weapon,” the CCD chief confessed to the gross negligence. AIG Chatha said that forensic evidence, including the officer’s weapon and spent cartridges, has been secured and processed.

“While our personnel operate in high-risk environments, there is no justification for a departure from our protocols. We are conducting a thorough, impartial investigation to ensure that justice is served,” he said.

Published in Dawn, June 15th, 2026