IBA Karachi Holds Pre-Budget Seminar, Experts Weigh in on Pakistan's Economic Outlook

Karachi, May 13, 2025 – The Institute of Business Administration (IBA) Karachi hosted a crucial pre-budget seminar titled “Pakistan Economic Outlook for Budget 2025-2026” on its Main Campus. Organized by the Center for Business and Economics Research (CBER) at the School of Economics and Social Sciences (SESS), the session brought together prominent economic experts to critically analyze Pakistan’s current economic landscape and the anticipated Federal Budget for the upcoming fiscal year.

The seminar, moderated by Dr. S Akbar Zaidi, Executive Director of IBA Karachi, featured insightful perspectives from key figures including Dr. Miftah Ismail, the former Minister of Finance; Dr. Zehra Farooq, Secretary of Income Tax Policy at the Federal Board of Revenue (FBR); Mr. Khurram Husain, a leading Business & Economy Journalist; and Ms. Nadia J. Seth, General Manager of the Small and Medium Enterprises Development Authority (SMEDA), under the Ministry of Industries and Production.

During the discussions, Dr. Miftah Ismail highlighted the significant challenge the government might encounter in achieving its revenue targets for the next fiscal year, pointing out that Pakistan already bears higher tax rates compared to its regional neighbors. In response, Dr. Zehra Farooq underscored the FBR’s commitment to employing evidence-based policymaking to strategically broaden the tax base and improve compliance. She emphasized the fundamental importance of economic documentation and stressed that paying taxes is a legal obligation for all citizens.

Mr. Khurram Husain provided a broader political-economic context for the budget, cautioning that recent tensions with India could lead to a substantial portion of the upcoming budget being allocated to defense spending. Ms. Nadia J. Seth emphasized the vital role of small and medium enterprises as the backbone of the economy and a significant part of the informal sector.

The seminar delved into several critical issues facing Pakistan’s economy, including the implications of IMF conditions, potential post-Trump tariffs, vulnerabilities to climate change, and the nation’s fiscal autonomy. The discussions offered a comprehensive overview of the challenges and opportunities that will likely shape the Federal Budget 2025-2026.