ISLAMABAD: Finance Minister Senator Muhammad Aurangzeb, Thursday, assured the Senate that its recommendations would be duly considered for the federal budget, as the Upper House of the Parliament adopted a total of 123 recommendations on the Finance Bill, 2026.
Winding up the budget debate, the finance minister appreciated the Senate Standing Committee on Finance and Revenue for its input on the federal budget.
“The finance panel reached out to every sector and gave its recommendations in a short span of time,” he said.
Aurangzeb reiterated that several key recommendations of the Senate would be made part of the Finance Bill, 2026 that would be put up before the National Assembly in the coming days.
On the economic situation in the country, he said that the situation in the Middle East impacted the pace of economic progress in Pakistan, adding that the government was taking effective steps to grapple with the situation.
The minister said the government has reduced taxes on construction industry in the federal budget.
The advance sales tax on the corporate sector has also been abolished in the budget, Aurangzeb said.
“Also, the burden of taxes on the salaried class has been lessened,” the lawmaker said.
Other significant decisions taken by the federal government in relation to the federal budget include abolition of surcharge on the information technology sector, according to the minister.
The IT exports in the outgoing fiscal year would be recorded at USD 4.5 billion, Aurangzeb said, adding that the government is imparting coding training to the youth associated with the IT sector.
Earlier, Chairman Senate Standing Committee on Finance and Revenue Saleem Mandviwalla said, the panel has devised 123 recommendations for the NA’s consideration.
The committee, he said, has recommended increasing salaries by at least 15 percent, broadening the tax base, and avoiding the imposition of new taxes on essential commodities.
The panel has proposed reducing taxes on fertilisers, seeds and agricultural machinery to support the farming sector, he said.
After his speech, Mandviwalla moved a motion that the recommendations on the Finance Bill, 2026, containing the Annual Budget Statement, as reported by the committee, be adopted by the House.
Subsequently, the Senate adopted the motion.
Moreover, the Senate passed the Federal Board of Revenue (Amendment) Bill, 2026, presented by the finance minister. The bill seeks to shift the functioning of the FBR’s Policy Board under the ambit of the Finance Division.
The bill also seeks to empower the secretary Revenue Division to appoint and transfer the FBR Members of grade 21 and above.
Prime Minister’s Political Adviser Rana Sanaullah told the Senate that Pakistan had raised the issue of “India’s weaponisation of water” at the international forums.
“India is constructing five dams on Chenab River and aims to complete them in the next four to five years. Once completed, these projects would enable India to halt the flow of water of Chenab for a period ranging from 60 to 90 days,” he said.
Copyright Business Recorder, 2026