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ISLAMABAD, Jun 29 (APP):The Pakistan Institute of Development Economics (PIDE) on Sunday organized a seminar titled “Budget 2025–26: A Blueprint of the Nation’s Ambition” to unpack the federal budget’s promise, progress and gaps.
The seminar brought together policy experts, economists, and business leaders to evaluate whether the budget aligns with Pakistan’s aspirations for inclusive growth, resilience and a knowledge-driven economy, said a press release.
Opening the discussion, Dr Mahmood Khalid of PIDE acknowledged the government’s efforts to stabilize the macroeconomic environment, control deficits, and improve investment confidence amidst global uncertainty.
He stressed that strategic coherence, fiscal credibility, and transparency are essential to convert the macroeconomic stability into sustained development gains.
Dr Ali Salman of PRIME Institute appreciated the government’s realistic revenue targets but noted that relying heavily on raising existing tax rates burdens low- and middle-income households while discouraging business expansion.
He recommended to broad-based tax reforms targeting under-taxed sectors decentralization of fiscal authority to provinces and local governments, besides, performance-linked budget allocations, simplified and predictable tax policy to reduce compliance burdens.
Toward a Green, Digital Economy Dr Safdar Sohail highlighted renewed attention to economic recovery but found the budget lacking in policy clarity for green growth and technology integration.
IMF Conditions: Navigating Constraints with Coordination Dr Hafsa Hina of PIDE noted that while IMF-backed stabilization has created fiscal discipline, it has constrained long-term development planning.
She warned of potential inflation due to global volatility, carbon taxation, and energy price adjustments but remained optimistic if macroeconomic and structural policies are well-coordinated.
The panelists recommended for using the URAAN Pakistan framework to guide reforms across federal and provincial levels, besides expanding the formal tax base through digitization, formalization, and equitable burden-sharing.
They urged for aligning public investments with measurable outcomes and development priorities, not political expediency and strengthening fiscal federalism and engaging provinces effectively in budget implementation.
They asked for engaging civil society and think tanks like PIDE in budget preparation and monitoring for accountability and better targeting.
Concluding the session, Dr Nasir Iqbal (PIDE) noted that while Budget 2025–26 introduces positive elements, its impact will depend on consistent follow-up, performance benchmarks, and institutional readiness for reform.
The seminar concluded with a call for embedding transparency, policy coherence, and citizen participation into Pakistan’s budget process to ensure that the budget becomes a true vehicle for national transformation.