ISLAMABAD: Information Minister Attaullah Tarar on Sunday defended the federal budget in the National Assembly, claiming enforcement measures had generated Rs800 billion in total revenue recovery and describing it as a “relief budget” marking the beginning of economic growth and stability.

Tarar, responding to remarks made by opposition members during the budget debate, said “very good suggestions were received.” Regarding the budget, he stated it had received global recognition. “The whole world, the media, opinion makers and economists are appreciating it,” he said, urging the opposition to “at least not undermine Pakistan itself.”

Salaried relief

On salaried relief, he stated, “Significant relief has been given to the salaried class. No tax has been imposed on those earning up to Rs50,000.” He clarified that those earning between Rs50,000 and Rs100,000 will pay only 1% tax, adding that relief had been extended across income slabs, particularly for professionals and the middle class.

FBR reforms and recovery

On the Federal Board of Revenue (FBR) reforms, Tarar said structural changes had been introduced. “If you recommend any customs or income tax officer today, that officer will be suspended by evening,” he claimed. He also spoke about tax litigation worth billions, alleging collusion between certain legal actors and tax evaders in the past, and said new tribunals had been established on merit with recovery mechanisms strengthened.

He noted the recovery of around Rs60 billion from the sugar sector, with enforcement measures generating around Rs800 billion in total. A transparent transfer and posting system had also been implemented, he said, to eliminate influence and recommendations. He added that this was achieved through determination, political will, and institutional coordination.

The information minister also said modern systems such as faceless customs appraisal had been introduced to reduce corruption and delays at ports, adding that these changes ensure “the burden of those who do not pay taxes will no longer fall on those who do.”

On retail taxation, Tarar mentioned that around 3.6 million retailers were previously outside the tax net and had now been brought into it through a fixed-tax scheme, creating fairness and transparency in the system.

Housing and exports

Regarding housing, the minister said relief had been given to the middle class, particularly in property transactions involving small plots. The “Apna Ghar Scheme” was also highlighted, under which loans of up to Rs10 million are being provided, targeted at low-income groups, with the initiative expected to stimulate construction activity, create employment, and strengthen economic growth.

On exports, Tarar stated that policies had been adjusted to support export-led growth, including the removal of advance tax and reductions in minimum tax and super-tax for exporters. The information minister also mentioned reductions in taxes within the services sector, including shipping services, where sales tax had been brought down from 18% to 0%.

Economic turnaround

Tarar recalled warnings that “Pakistan was going to default within a month” and that investment had completely stopped. He said “conditions were being set for Pakistan’s default” and that some were even hoping for it. “But by the grace of Almighty Allah, things turned out differently,” he noted, crediting PM Shehbaz Sharif’s leadership and saying that in difficult times “politics was sacrificed for the survival of the state.”

Describing the past economic situation, he said the exchange rate used to fluctuate like a “fan running continuously,” business activity had stalled, letters of credit were not being opened, and exporters’ goods were stuck at ports.

Further, inflation stood at 38% and interest rates above 22%.

Now, he said, GDP growth had improved from negative territory to around 3.7%, per capita income had risen from about $1,751 to $1,901, foreign exchange reserves had increased, and remittances had reached record levels.

Tarar also mentioned that the current account deficit had improved from around 8% of GDP to about 0.7%, and IT exports had reached around $3.8 billion with freelancers contributing significantly. This macroeconomic stability “did not come overnight,” Tarar stressed.

Consultations were held across multiple sectors including industry, chambers of commerce, IT, and agriculture before finalising the budget, Tarar shared.

Describing the budget as one that supports “farmers, labourers, shopkeepers, retailers, and salaried individuals,” he noted that agricultural relief measures include reductions in duties on imported machinery, along with enhanced support for youth and farmers. National leadership and institutions were credited for contributing to peace and stability, with emphasis on teamwork involving the SIFC and government economic teams.

Restraint in the House

Referring to the opposition leader’s speech the day before, Tarar pointed out that they too had once been in opposition and had witnessed incidents where “books were set on fire from these very desks and papers were thrown.”

Although he emphasised that protest is the right of the opposition and “this has always been an established tradition,” he noted that “for the first time, books were also thrown from the government benches towards the opposition benches,” highlighting the need for restraint.

He further stated that “time changes, people change positions,” but what is often forgotten is that dialogue has always been offered. “When we were there, we offered dialogue, and today from here also, we offer dialogue,” he said, adding that the difference lies in “attitude and intention.”

He also recalled that when they were in opposition, they too spoke about a “Charter of Economy” and a “Charter of Democracy,” and today, from the treasury benches, the same call continues. “This House is the custodian of democratic traditions,” he said.

PPP MNA calls on FinMin

Earlier, Pakistan People’s Party (PPP) MNA Hussain Tariq termed direct tax targets set in the new budget at Rs6.9 trillion as “very ambitious and unlikely to be achieved,” calling on Finance Minister Muhammad Aurangzeb to respond to his concerns.

Tariq stated that the budget is not just about figures, but also about balancing “debit and credit” and providing financial direction for the country’s population. He said the PPP understands budgetary discussions “on facts and figures,” but the party has always emphasised how the budget impacts ordinary citizens.

“If people are benefited, it is fine, but if a budget makes things more expensive, then we feel it should be changed,” he said, adding that there have been ongoing discussions within the government regarding the issue.

FBR targets

Referring to targets set by FBR, the MNA noted that a target of Rs14.131 trillion was set, which, like every year, was not achieved and had to be revised. He stated the new target of Rs15.264 trillion represents a 17% increase compared to last year, while inflation has been adjusted at 8%.

“Above that, how will it adjust?” he questioned, adding that PPP Chairman Bilawal Bhutto Zardari had also pointed out that the FBR sets targets but fails to achieve them, after which a “tug of war” begins between the state and provinces over revenue responsibilities.

On indirect taxes, Tariq said all members recognise them as regressive, noting a revised target of Rs6.5 trillion with a 17% revision added overall.

Inflation and cost of living

Tariq highlighted inflation pressures, saying the Sensitive Price Indicator had increased by 14.75%, reflecting a significant impact on the poor, and that the prices of 51 essential items used by low-income groups had increased in year-on-year data up to June 4. “I agree inflation is around 8% overall,” he said, “but there are other pressures as well.”

He added that electricity inflation had increased by 54% in a year. “If a person is earning a minimum wage, how will he pay electricity bills?” he asked. “If he pays bills, he will not be able to fulfil his children’s needs,” he said, stressing that citizens should not be left helpless due to external conditions such as war.

He further noted that in Sindh, where temperatures reach 47 to 50 degrees Celsius, load-shedding leaves people in extremely difficult conditions.

Agriculture and regional equity

On agriculture, Tariq said he appreciated Minister Rana Tanveer Hussain for his efforts in the National Food Security sector. He noted that opportunities in areas such as GMO and gene editing were not fully utilised in the past, and said policy improvements had been made, but farmers still do not benefit enough to invest in modern machinery.

He said agriculture often yields only a 50% profit margin while input costs remain high. Referring to government remarks, Tariq said the finance minister had claimed that agriculture received significant attention last year, however, this year only limited discussion took place. He also mentioned that Rs117.4 billion was allocated to agriculture, which he described as the backbone of the economy.

The MNA concluded by emphasising regional equity, saying it should not only be considered at the provincial level but must also extend to district-level investment, where economic stress is most visible.

He also added that the budget does not appear to provide a clear financial direction for the coming years, particularly in terms of employment generation and short and long-term economic policy.

PTI’s Asad Qaiser calls government “fascist”

Pakistan Tehreek-e-Insaf MNA Asad Qaiser, also speaking in the National Assembly, stated that both ruling parties had been defeated in Gilgit-Baltistan and that his party was not allowed to fully participate in the political process there.

Criticising the government, he remarked that those who “wear suits and ties here talk about democracy, but it is not democracy, it is fascism,” adding, “You are a fascist government.”

Discussing local energy concerns, Qaiser said his own district requires 180 megawatts of electricity yet faces 12-hour load-shedding. He stated that electricity is not being provided from Tarbela, emphasising that it is the right of the people to receive affordable electricity.

PPP’s Faruqui questions relief

PPP’s Sharmila Faruqui said that if economic “excellence produces a mediocracy rather than relief for the people,” then the direction of policy must be questioned. She noted that while the government is claiming relief for the salaried class, this is the same class that “pays more tax than anyone else,” adding that last year the salaried segment contributed around Rs550 billion, while the relief being offered is only about Rs50 billion.

She criticised the expansion of indirect taxation, including the climate levy and other revenue measures, as well as the expansion of the Sales Tax Third Schedule to around 30 items, including basic household goods, milk products, and other everyday essentials.

Faruqui argued that this approach increases the burden on already documented taxpayers while expanding indirect taxation on consumers. She also pointed out that relief appeared directed more towards credit card users, foreign travellers, and business class passengers rather than the poor. “If you are poor, you keep paying tax,” she said.

Referring to official estimates, Faruqui noted that poverty stands at around 29%, “meaning one in every four Pakistanis is poor.” She questioned the Economic Survey’s poverty benchmark of Rs8,400, asking, “can anyone here run a household on Rs8,400 a month?” and stressed that “the definition of the poverty line must be revised honestly.”

Demographic pressures

Faruqui warned that Pakistan’s population could reach 390 million by 2050 if current trends continue. With around 68% of the population under the age of 30 and unemployment at 7.1%, she criticised the budget for offering little for youth development, saying spending on a youth population of nearly 160 million amounted to “0.07%,” questioning national priorities.

Faruqui terms FBR “white elephant”

On the fiscal structure, Faruqui noted that around Rs8 trillion in current expenditure and federal revenue is consumed by interest payments, while pensions stand at Rs1.1 trillion, calling the situation unsustainable.

She also described the FBR as a “white elephant,” expressing frustration over repeated references to it without meaningful reform. Faruqui argued that had institutional inefficiencies been addressed earlier, provinces would not need to be asked to cover fiscal gaps under constitutional provisions.

Further, she cited circular debt at around Rs5.1 trillion and questioned why awards were being given to those responsible for the sector despite inefficiencies being passed on to the public.

She also described electricity and petrol prices as among the highest in the region, while “ministers are being rewarded for inefficiency.”

Karachi and regional disparities

On Karachi, Faruqui noted that the city pays the highest taxes in the country yet receives disproportionately low development allocations. She cited the Hyderabad and Sukkur motorway as examples, noting that against a total project cost of around Rs363 billion, only about Rs30 billion has been allocated, making completion unlikely.

NHA allocations were also described as inadequate, with Sindh receiving insufficient funding across multiple schemes.

Growth and IMF

In closing, while acknowledging the budget as moving from “stabilisation towards growth,” Faruqui termed the projected growth rate of around 4% insufficient and “mediocre.”

She stressed that the country cannot continue relying on increased taxation to finance debt servicing while development budgets are cut and pensions rise, and concluded that the salaried class should not continue bearing the burden of fiscal adjustment “to satisfy the IMF framework.”

ISLAMABAD: Pakistan Peoples Party (PPP) Chairman Bilawal Bhutto Zardari on Sunday appealed directly to protesters in Azad Jammu and Kashmir (AJK), urging them to end their demonstrations peacefully and bring their protest activities to a “peaceful conclusion”.

In a press release, Bilawal said the “imminent signing of the Islamabad accord marks a historic moment, adding that at a time when international spotlight is firmly on Pakistan, the ongoing unrest in AJK is damaging both the Kashmiri cause and Pakistan’s reputation”.

Tensions have been rising in AJK following recent deadly clashes that have led to competing narratives over casualties, governance grievances, and political legitimacy. Official sources have confirmed at least seven deaths.

He warned that the situation is also creating an “unnecessary opportunity” for hostile actors and the “India-Israel nexus” to exploit developments for their own purposes.

The PPP chairman called on those who have taken the law into their own hands to surrender to local authorities and allow due process to take its course.

He stressed that all political grievances and disagreements must be resolved through “democratic, constitutional and peaceful means,” saying Parliament and the political process, not the streets, are the appropriate forums for resolving such issues.

Bilawal noted that the PPP has already called on the Election Commission to withdraw its “premature election schedule,” reiterating the party’s commitment to pursuing a political solution.

He said the party would seek to establish a Truth and Reconciliation Commission to address outstanding grievances and move the process towards a “just and lasting conclusion,” adding that the people of Kashmir should not be subjected to repeated cycles of protest and uncertainty.

He added that if all stakeholders, including the federal government, are in agreement, the AJK government could review notifications issued in relation to protesting parties at an appropriate time.

Reiterating a balance between accountability and fairness, Bilawal Bhutto Zardari said there can be no compromise on the rule of law or on holding unlawful actors accountable, but stressed that individuals who have done nothing wrong must not suffer the consequences of others’ actions.

Meanwhile, the PPP Azad Kashmir core committee has demanded that the Election Commission withdraw the current election schedule, calling for immediate consultations in light of the prevailing situation.

Addressing a press conference, PPP Azad Kashmir President Chaudhry Yasin said that “saving the state is the top priority” in the current circumstances, stressing that the party’s politics has always revolved around the Kashmir issue.

He recalled that Shaheed Zulfikar Ali Bhutto and Shaheed Benazir Bhutto highlighted the Kashmir cause at the global level, while adding that over the past seven months, efforts were made to resolve public issues and restore democratic processes.

Chaudhry Yasin said that while security personnel were martyred, civilians were also affected by the evolving situation. He criticised the hurried announcement of the schedule for migrant seats, saying it was issued only days before the protest call, which was not appropriate.

He noted that during negotiations, most demands of the Public Action Committee had been accepted, claiming that “37 out of 38 demands” were already implemented, while only the constitutional matter of migrant seats remained under discussion.

He said alternative constitutional and legal options exist regarding migrant representation, and added that a one-week extension was sought from the committee but was not accepted. In the current situation, he said, holding elections on migrant seats appears difficult.

Chaudhry Yasin urged the Election Commission to withdraw the schedule and continue the consultation process, saying PPP is not in favour of confrontation or conflict. He warned that hostile forces, including India, could take advantage of the situation.

He stressed that “12 migrant seats are not more valuable than human lives,” adding that solutions must be found through dialogue, political consensus and democratic process. He also pointed to emerging shortages of essential goods in Azad Kashmir, saying the region is facing serious uncertainty.

Other senior leaders present included former Prime Minister Sardar Yaqoob Khan, Information Secretary Javed Ayub, Senior Minister Mian Wahid, Javed Budhanvi, Sardar Zia-ul-Qamar, Chaudhry Qasim Majeed and Yasir Sultan.

ISLAMABAD: Prime Minister Shehbaz Sharif on Saturday used the floor of the National Assembly to respond to a wide-ranging speech by Opposition Leader Mahmood Khan Achakzai, defending the government’s record on Balochistan and counterterrorism while promising a detailed reply to the opposition leader’s remarks at an appropriate time.

The exchange took place during the ongoing budget debate, chaired by Speaker Ayaz Sadiq and attended by Finance Minister Muhammad Aurangzeb.

The session began with a quorum shortfall, with only 52 members present against the required 84. Despite the lack of quorum, proceedings continued. Speaker Sadiq also announced the establishment of a budget desk in the Parliament House library to assist lawmakers with budget-related information.

Separately, the speaker censured Pakistan Tehreek-e-Insaf (PTI) lawmaker Iqbal Afridi, accusing him of misbehaviour, using abusive language and assaulting people. Sadiq said he had no right to occupy the chair if he could not ensure the protection of others.

Read: Budget 2026-27: Govt cuts taxes, ends surcharge for four salaried class income slabs

Opening the debate before what he described as “near-empty chairs”, Achakzai condemned what he called a campaign against the Pashtun people in Balochistan and rejected attempts to portray Pashtuns as terrorists.

“We condemn those who say that Pashtuns are terrorists,” he said, adding that Pashtuns had never compromised their freedom or acted as agents of any external power. “I consider it a grave sin to discriminate against any human being on the basis of colour, race or language,” he added.

Achakzai invoked historical grievances in Balochistan, referring to the execution of Nawab Nauroz Khan and his sons during the era of Field Marshal Ayub Khan, the raid on Ataullah Mengal’s residence, the disappearance of Mengal’s son and the killing of Akbar Bugti, whose funeral prayers, he said, were not permitted.

“Pakistan cannot be run in this manner,” he remarked.

The opposition leader also paid tribute to former prime minister Zulfikar Ali Bhutto, saying he had helped unite Pakistan after the country’s dismemberment. He recalled visiting Nusrat Bhutto following Bhutto’s execution and finding her distressed over the confiscation of her property, claiming he had intervened to protect it.

Achakzai further criticised the government’s handling of protests, alleging that children gathered at D-Chowk to demand the release of PTI founder Imran Khan had been shot and that women and children faced unacceptable treatment following the May 9 unrest.

He accused successive governments of treating Balochistan, Khyber Pakhtunkhwa and Sindh like colonies, remarking that “even the British were better by comparison”.

Commenting on the merger of the former Federally Administered Tribal Areas (FATA), Achakzai argued that India had responded by revoking the special constitutional status of occupied Kashmir. He added that many who once rallied in support of Kashmir were now protesting domestically.

Reaffirming the constitutional right to protest, Achakzai turned his attention to Waziristan, describing it as a region where every piece of land had a recognised owner. He said the deployment of the military there had produced consequences that were still being felt today.

Appealing for restraint, he urged the government not to “entangle the army and the state”, warning that young people on both the civilian and security sides were losing their lives. “The people of Waziristan are the owners of Waziristan,” he said.

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Despite his criticism, Achakzai adopted a conciliatory tone towards the end of his speech, addressing the prime minister directly and proposing that political forces sign a memorandum of understanding to move forward collectively.

He recalled holding late-night meetings with Shehbaz Sharif to ease tensions between the Pakistan Peoples Party and the Pakistan Muslim League-Nawaz, facilitating a meeting between Nawaz Sharif and Benazir Bhutto in London, meeting Nawaz during his exile, and helping unite 36 political parties around a common agenda.

He concluded with a pointed question: “Is it not a violation of the Constitution to make winning candidates lose?”

Responding from the floor, Prime Minister Shehbaz said he had listened carefully to Achakzai’s speech but would reserve a detailed response for a later occasion. “I will not give a detailed response to it at this time. I will do so at an appropriate occasion,” he said.

Describing parliament as a house representing all four provinces, the prime minister said political differences were natural but Pakistan’s existence remained the foundation of everyone’s collective future. “Any sacrifice made for Pakistan is too little,” he said.

Rejecting Achakzai’s criticism regarding provincial rights, Shehbaz said there could be no disagreement over the provinces’ entitlement to national resources. He cited Balochistan’s share in the Reko Diq project and noted that the province’s allocation under the 2010 National Finance Commission Award had doubled, with Punjab contributing Rs11 billion to the arrangement.

The prime minister also highlighted development initiatives in Balochistan, including a Rs75 billion solarisation programme for farmers and the construction of a dual carriageway costing Rs300 billion.

Addressing security issues, Shehbaz said external actors were involved in fuelling terrorism in Balochistan and defended the fencing of the Pakistan-Afghanistan border as a necessary measure.

He added that members of the armed forces and police continued to sacrifice their lives daily in the fight against terrorism, particularly in Khyber Pakhtunkhwa.

“These martyrs leave their own children orphaned to save the nation’s children from becoming orphans,” he said, urging lawmakers to honour and respect those who had laid down their lives.

Following the prime minister’s remarks, PTI Chairman Barrister Gohar Ali Khan briefly addressed the House, saying the speech “did not answer our questions”. Speaker Sadiq instructed him to keep his comments brief.

RAWALPINDI: Continuing their intelligence-based operations (IBOs) in Khyber Pakhtunkhwa’s North Waziristan, the security forces have killed 21 terrorists in the last 72 hours, the Inter-Services Public Relations (ISPR) said on Saturday.

In a statement, the military’s media affairs wing said multiple terrorist locations were engaged in the “general area Miranshah and surroundings in North Waziristan”.

“Following fierce fire exchanges, in [the] last 72 hours, 21 more khwarij belonging to Indian-sponsored Fitna-al-Khawarij, including four kharji ring leaders (Kharji Khalid Raza alias Salar, Kharji Muftoon, Kharji Musa and Kharji Imran alias Ayan) have been sent to hell, thereby causing a significant blow to the khwarijs’ network operating in the area,” the ISPR said.

The Pakistani government uses the term “Fitna al-Khawarij” to refer to the banned Tehreek-e-Taliban Pakistan (TTP) and its affiliates.

The ISPR said the killed ring leaders were “highly wanted for their involvement in numerous terrorist activities, including killing of security forces personnel and innocent civilians”.

It noted that since the operations began last week, with 27 terrorists killed over 72 hours earlier, a total of 48 terrorists have been killed in the “highly skilful and precise operations”.

Weapons and ammunition were also recovered from the terrorists, the ISPR said, stressing that they “remained actively involved in numerous terrorist activities and killing of innocent civilians”.

Sanitisation operations will continue to eliminate the remaining holed up terrorists from the areas, the military said.

It affirmed that the “relentless counterterrorism campaign under vision ‘Azm-i-Istehkam’ (as approved by Federal Apex Committee on National Action Plan) by security forces and law enforcement agencies of Pakistan will continue at full pace to wipe out the menace of foreign-sponsored and supported terrorism from the country”.

On June 2, the district administration imposed Section 144 for an indefinite period in the Miranshah subdivision, restricting all movement and traffic amid security concerns.

The measure was widely seen as indicative of an intensification of counter-militancy operations in North Waziristan, with the administration taking extraordinary precautions to forestall any retaliatory action as the area continues to face militancy.

Before the imposition of Section 144, security forces were reported to have foiled a suicide attack by terrorists on a military post near Miranshah.

After two consecutive months of improvement, Pakistan’s security situation deteriorated sharply in May 2026, driven primarily by escalating terrorist violence in KP and Balochistan, according to the Pakistan Institute for Conflict and Security Studies (PICSS).

As KP and Balochistan continue to grapple with militancy, with attacks often targeting security personnel and law enforcers, the state has intensified counter-terrorism operations.