Speaking at a budget seminar in Islamabad, Senate Opposition Leader Allama Raja Nasir Abbas criticised the government’s economic claims, particularly its benchmark that individuals earning around Rs280 per day are not below the poverty line.
He said the ruling setup was “deceiving itself” and accused it of refusing to acknowledge the worsening conditions on the ground. “The people of Pakistan are being crushed in the mill of poverty,” he said, adding that food prices had reached unbearable levels.
Drawing a comparison with household finances, Abbas said a country cannot sustain itself when expenditures exceed income. He warned that Pakistan’s economic model was increasingly reliant on debt without meaningful efforts to control spending or enhance revenue generation.
He also cautioned that if elections were held under the current system, the outcome would be “the worst,” reflecting growing political and public dissatisfaction.
“Economic policies have failed”
Tehreek-e-Tahafuz-e-Ayeen-e-Pakistan leader Mustafa Nawaz Khokhar said rising poverty reflected the failure of economic policymaking. He stressed that economic growth should be measured through improvements in people’s living standards rather than macroeconomic indicators alone.
He said taxation without public service delivery was unjustified and argued that citizens deserve basic facilities in return for paying taxes. Khokhar added that the budget could not succeed without addressing public grievances.
“Economic emergency situation”
Pakistan Tehreek-e-Insaf (PTI) senior leader Salman Akram Raja described the budget as an “economic emergency,” saying the country remained trapped in debt and fiscal instability. He said claims of progress were inconsistent with ground realities, pointing to rising borrowing and declining investment in human development.
Raja warned that Pakistan’s economic trajectory was unsustainable without structural reforms and improved spending on health and education.
“Worst economic period”
Former prime minister and Awam Pakistan Party leader Shahid Khaqan Abbasi said the past four years represented the worst phase for Pakistan’s economy. He noted that debt servicing and interest payments were now consuming a major share of national resources, limiting development spending.
Abbasi said rising taxes and continuous borrowing had increased the burden on ordinary citizens and warned that investment would remain weak without political stability, rule of law and policy continuity.
“Cruel tax system”
Jamaat-e-Islami Emir Hafiz Naeemur Rehman criticised the tax structure, calling it “cruel” and alleging that the common citizen was bearing an excessive share of the tax burden.
He demanded the abolition of the petroleum levy and the termination of capacity payments to independent power producers. He also called for cuts in discretionary development funds and government expenditures, arguing that public relief was absent despite repeated budget announcements.
Government defends budget
Responding in the National Assembly, Information Minister Attaullah Tarar defended the budget, describing it as “relief-oriented” and supportive of all segments of society.
He said the budget had received a positive response from various economic observers and included significant relief measures for the salaried class. He highlighted that individuals earning up to Rs50,000 would not be taxed, while those earning between Rs50,000 and Rs100,000 would face only a one percent tax rate.
Tarar said the government had achieved macroeconomic stability through consistent policy measures and credited the leadership for contributing to economic improvements. He also said reforms in the Federal Board of Revenue (FBR) were aimed at ensuring tax compliance and reducing the burden on honest taxpayers.
