Opposition assails govt for ‘growing’ economic mismanagement
ISLAMABAD: The National Assembly on Monday witnessed a heated debate on the federal budget 2026-27, as opposition lawmakers sharply criticised rising inflation, economic mismanagement, and what they described as a shrinking space for political dissent, while the government defended its fiscal strategy as necessary stabilisation under difficult economic conditions.
The ongoing debate on federal budget for 2026-27 repeatedly centred on worsening cost-of-living pressures, mounting public debt, taxation levels, and demands for greater provincial autonomy and social sector spending.
Taking part in the debate, Jamiat Ulema-e-Islam-Fazl (JUI-F) chief Maulana Fazlur Rehman said rising debt had placed an unsustainable burden on citizens, claiming that each Pakistani now carried an average liability of around Rs325,000.
He warned that poverty was deepening and questioned the sustainability of current wage levels amid persistent inflation.
He also criticised restrictions on opposition voices, alleging that dissenting speeches were being underreported in state media.
Stressing the need for political dialogue, he said differences between major political forces, including the PTI, had narrowed and suggested that a broader political settlement could be possible if conditions were created for engagement.
Referring to past efforts at reconciliation, he cited the “Charter of Democracy” as a framework that had reduced political confrontation, though he noted that neither he nor PTI founder Imran Khan had been signatories.
He said the document had nevertheless functioned as a de facto understanding against the overthrow of elected governments through unconstitutional means.
The lawmakers belonging to the opposition Pakistan Tehreek-e-Insaf (PTI) launched a strong critique of the budget, arguing that official poverty indicators were disconnected from real living conditions.
Shehram Tarakai of PTI said essential commodities had become unaffordable even for households above the poverty line, adding that the tax burden had reached its limit.
He also alleged monopolistic practices in the tobacco sector and raised concerns over uneven electricity distribution, particularly in Khyber Pakhtunkhwa.
Another PTI MNA Latif Khosa said the budget failed to address youth unemployment and the growing number of out-of-school children, calling for increased investment in education and healthcare.
Aslam Ghuman of PTI stressed the need for improved information technology infrastructure, arguing that high-speed internet access was essential for economic modernisation and development in emerging technologies.
Noor Alam Khan of JUI-F criticised fiscal projections and lack of development funding for smaller provinces, also calling for reductions in petroleum prices and levies.
On the treasury side, PML-N’s Anjum Aqeel defended the budget as balanced under challenging economic conditions, saying the government had stabilised the economy and averted immediate default risks.
He said the focus now was on consolidation, export growth, and targeted relief measures for youth, women, and industry.
Sheikh Aftab, another PML-N MNA echoed the assessment, saying recent economic and diplomatic developments reflected improved national stability.
He noted continued pressure on the agriculture sector due to high input costs but expressed optimism about future improvement, while also suggesting relief measures for salaried classes.
Some treasury lawmakers also referred to Pakistan’s diplomatic role in facilitating recent international understandings involving Iran and the US, crediting senior political and military leadership.
On fiscal policy, members from multiple parties highlighted persistent concerns over indirect taxation, state-owned enterprise losses, and unrealistic growth assumptions.
MQM-P’s Hafizuddin urged more realistic budgeting and reduced reliance on indirect taxes, warning that inflated projections could undermine public confidence.
Human development concerns remained central throughout the debate. Lawmakers across party lines called for increased spending on health, education, and youth employment, arguing that macroeconomic stability had yet to translate into relief for ordinary citizens.
PPP lawmakers opposed taxation on essential goods such as milk and demanded faster progress on key urban infrastructure projects, including Karachi’s water supply schemes, framing water security as a pressing urban challenge.
PPP’s Nabeel Gabol called for removal of GST on milk and essential commodities, while also highlighting the need for timely completion of Karachi’s K-IV water project.
The debate also reflected ongoing tensions over provincial disparities, with members from smaller provinces calling for greater investment in infrastructure, energy, and public services.
Several other lawmakers from both the opposition and treasury benches also took part in the budget debate.
Copyright Business Recorder, 2026