Finance minister urges private sector to lead as public confidence key to economic progress

Finance Minister Muhammad Aurangzeb on Monday stressed the importance of restoring public trust in the government’s economic policies, saying that the private sector must take the lead in driving the country forward.

His remarks came during the Senate session where he addressed economic challenges.

"We cannot move forward until public confidence is restored. The private sector must step up and lead the country," Aurangzeb stated, adding that currency stability and single-digit inflation have been achieved in the current fiscal year, with improved exports in July and August.

Responding to a question from Senator Shibli Faraz regarding a shortfall in tax collection, the finance minister explained, "We are Rs98 billion behind in tax collection. However, private sector credit has risen by half a trillion. The government needs to maintain fiscal discipline. As the prime minister has said, the government's job is not to run businesses but to empower the private sector."

Aurangzeb agreed that digitalising the Federal Board of Revenue (FBR) is essential for building trust. "We must restore confidence in the tax authority. It's impossible to develop without paying taxes. This country cannot run on charity; taxes are essential for progress," he added.

He concluded by emphasising that institutional reforms could make the current IMF programme the last one for Pakistan.