20pc pay hike likely for govt employees

Published
0

ISLAMABAD: Ashfaq Tola, who chairs the Reforms & Resource Mobilisation Commission, said on Wednesday that the salaries of government employees would be raised by around 20 per cent in the coming budget.

“Salaries of lower grade employees is very low and the scales need a major boost,” Mr Tola observed.

He parried a question over the perks and privileges enjoyed by bureaucrats.

Ashfaq Tola was addressing a ceremony to launch a report, “Unveiling tax evasion: a closer look at five sectors in Pakistan.”

The report has been prepared by Ipsos, a Paris-based research organisation. It reveals that tax evasion in five sectors causes a loss of Rs956 billion annually.

The report said the estimated tax evasion in the real estate sector was Rs500bn annually, in tobacco sector Rs240bn, Rs 106bn in tyres and auto lubricants, Rs 65bn in the pharma sector. In addition, the country loses Rs45bn to illegal tea trade.

Mr Tola said tax evasion was a menace as it had created a parallel economy.

“Apart from lobbying by interest groups, one part of the problem is lack of coordination among different government departments.

“The solution lies in automation and financial inclusion as it is important for economic growth,” he said.

Mr Tola criticised the existing implementation of the 18th amendment, saying that while 58.5 per cent of national resources were being transferred to the provinces, they were not held accountable for their performance.

For checking smuggling, he said scanners should be installed to check containers returning after delivering transit trade goods in Kabul.

Published in Dawn, June 8th, 2023

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Fixing bond markets
Updated 01 Oct, 2026

Fixing bond markets

Pension funds, insurance companies, mutual funds, retail investors, and eventually, foreign investors must become bigger participants in the market.
Call centre rackets
01 Oct, 2026

Call centre rackets

A NUMBER of recent raids conducted by the authorities in different cities point to the growing threat fraudulent ...
Homeward bound
01 Oct, 2026

Homeward bound

FIVE months after Somali pirates captured an oil tanker carrying a 19-member multinational crew, Somali maritime...
Kashmir unresolved
Updated 30 Sep, 2026

Kashmir unresolved

The just solution lies in India addressing the issue through a trilateral dialogue involving the legitimate representatives of the Kashmiri people and Pakistan.
Water shortage
30 Sep, 2026

Water shortage

THAT the country is entering the Rabi season with an anticipated water shortage of nearly 25pc, the lowest carryover...
Young hearts
30 Sep, 2026

Young hearts

THE observance may have passed, but the message of World Heart Day should not fade with it. The occasion is a useful...