Govt acts to facilitate exporters, promises five-year EDF audit

November 24, 2025 (MLN):  Prime Minister Shehbaz Sharif on Monday ordered the immediate abolition of the Export Development Surcharge and directed a comprehensive third-party audit of Pakistan’s Export Development Fund (EDF), as his government moves to overhaul the country’s export-boosting framework amid ongoing economic pressures.

The directives were issued during a high-level review meeting on recommendations compiled by a sub-working group formed in October to assess ways to increase national exports.

The group, chaired by Musaddiq Zulqarnain, presented its findings in the presence of all members, according to a press release issued.

Sharif praised the panel’s work and instructed relevant ministries and agencies to implement its recommendations without delay.

Under the new measures, the government will conduct a five-year, internationally benchmarked third-party audit of the EDF and all programs and schemes run under it.

Sharif also ordered that a qualified private-sector professional be appointed as chairperson of the fund to ensure more transparent and effective use of its resources.

He said EDF allocations must be restricted strictly to initiatives that expand Pakistan’s exports, including research and development, skill building and training for the export workforce, and the provision of modern, globally competitive facilities.

“The irrelevant or illogical use of the Export Development Fund is unacceptable,” Sharif said, according to the Prime Minister’s Office.

He added that promoting Pakistani products abroad is the federal government’s responsibility and that exporters and industrialists must receive “every possible facilitation” on a priority basis.

Sharif also directed reforms and restructuring of the Trade Development Authority of Pakistan (TDAP) to strengthen its role in export promotion.

The meeting was attended by Planning Minister Ahsan Iqbal, Finance Minister Muhammad Aurangzeb, Commerce Minister Jam Kamal, Climate Change Minister Musadik Malik, Petroleum Minister Ali Pervez Malik, Minister of State for Finance Azhar Bilal Kayani, the chairman of the Special Investment Facilitation Council (SIFC) and other senior officials.

Pakistan has struggled in recent years to stabilize its export earnings, which have lagged behind regional competitors despite repeated government pledges to incentivize industry.

The EDF established to support export-oriented initiatives has faced criticism from industry groups for limited transparency and inconsistent use of funds. The government’s latest steps come as Islamabad seeks to improve its external account position and secure long-term economic stability.

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