Ahsan Iqbal calls for tax reforms to power Uraan Pakistan

September 10, 2026 (MLN): Comprehensive tax reforms, resource mobilization and digitalization are essential to provide the financial engine for achieving the targets of Uraan Pakistan and transforming the national economy.

Federal Minister for Planning, Development and Special Initiatives Professor Ahsan Iqbal made these remarks while chairing a meeting on the National Economic Mission of Uraan Pakistan concerning tax reforms and digitalization, APP reported.

He said Mission-2, covering tax reforms and resource mobilization, was one of the 11 National Economic Missions approved by the National Economic Council (NEC) and served as the financial engine for the entire Uraan Pakistan programme.

He said the resources required for the other 10 National Economic Missions could not be generated without increasing revenues through reliable and effective sources, adding that the 11 missions approved by the NEC were aimed at transforming Pakistan into a $1 trillion economy by 2035.

Ahsan Iqbal said the NEC was the country's highest constitutional economic decision-making body and stressed that the targets of Uraan Pakistan were achievable but required transformation across every sector.

He said achieving the target of a $1 trillion economy while maintaining the status quo would be extremely difficult, adding that the desired level of economic transformation could not be achieved if the country continued to operate on a business-as-usual basis.

The Minister said Pakistan would have to move away from conventional approaches and rapidly transition toward a technology-driven digital economy for sustainable economic growth, describing the required pace of change as digital speed rather than incremental progress.

He said Pakistan had undoubtedly achieved economic stability, but the current level of stability was not sufficient to ensure sustainable growth.

He noted that in 2018, the size of the development budget relative to GDP was considerably higher, whereas the development budget had since shrunk significantly in proportion to GDP, and that achieving stability with a development budget of Rs2,000bn could not be termed complete economic stability.

Ahsan Iqbal said Pakistan needed to rapidly shift toward a technology-based economy, with the shrinking development budget posing a major challenge to completing ongoing projects, let alone initiating new ones.

He said the existing structure of the national budget left little room for further expansion in development expenditure, making it imperative to generate new resources and effectively mobilize existing ones.

The Minister said fundamental reforms in the tax system were required to mobilize domestic resources, noting that the government's tax collection performance had improved significantly over the past two years through the Prime Minister's efforts.

He said the major challenge was to increase the tax base and tax collection while reducing tax rates, adding that reducing the tax burden and increasing the number of taxpayers should be a key priority of the country's economic policy.

Ahsan Iqbal also stressed the need for a substantial increase in exports, saying Pakistan would have to significantly enhance its exports to achieve rapid economic growth.

He said increasing exports was among Pakistan's most important national priorities and called for setting clear, achievable export targets based on comprehensive analysis and research.

The Minister said the Ministry of Planning was responsible for preparing a comprehensive national development plan under the guidance of the Prime Minister and providing it to relevant ministries for effective implementation.

He directed that the Ministry's analytical and research capabilities be utilized to set clear export targets and determine the potential contribution of different sectors.

He reiterated that Pakistan's economic transformation required a departure from traditional methods, stronger resource mobilization, technology-driven growth and a sustained focus on exports to achieve the objectives of Uraan Pakistan.

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