Press Release Title: Senator Muhammad Talha Mahmood, Convener Sub-Committee of the Senate Standing Committee on Finance and Revenue presiding over a meeting of the committee at Parliament House Islamabad

Press Release Date: 1st September, 2026

‎A meeting of the Sub-Committee of the Senate Standing Committee on Finance and Revenue was held under the convenorship of Senator Muhammad Talha Mahmood to consult the business community on industry relocation from Pakistan, governance and policy practices within the Federal Board of Revenue (FBR), dual nationality of FBR officers, industrial policy for economic growth, and measures to restore normal business hours. ‎ ‎The meeting was attended by Senator Dr Afnan Ullah Khan, Senator Bilal Khan and Senator Jam Saifullah Khan. ‎ ‎The Sub-Committee stressed the need for FBR to strengthen its engagement with the business community through maximum facilitation and improved ease of doing business. The Convenor highlighted the concerns of the business community and emphasized that a business-friendly environment was essential for expanding economic activity and increasing tax revenues. ‎ ‎FBR informed the Sub-Committee that several confidence-building measures had been introduced, including collaborative committees comprising representatives of the business community and FBR. The Committee was further apprised that, on the directives of the Prime Minister, the Chairman FBR would hold a camp office in Karachi during the first week of every month. A similar two-day camp office is also planned in Lahore to enable businessmen to resolve their issues without travelling to Islamabad. ‎ ‎The Convenor appreciated the initiative and directed that the same facilitation measures be communicated to FBR Chief Commissioners for effective implementation. ‎ ‎The Sub-Committee also discussed difficulties being faced by exporters and businesses in banking transactions and emphasized the need for practical alternatives, including the use of insurance guarantees in place of bank guarantees or cheques, where permissible. FBR assured the Sub-Committee that the matter would be examined and resolved. ‎ ‎The Convenor recommended introducing facial recognition technology to facilitate taxpayers whose fingerprints have faded or cannot be verified. FBR and NADRA were directed to coordinate and resolve the issue on an urgent basis. It was further directed to submit list of FBR officials holding dual nationality and permanent foreign residency. ‎ ‎The Ministry of Industries and Production briefed the Sub-Committee on issues concerning Export Processing Zones (EPZs) and Special Economic Zones (SEZs). The Committee was informed that, under the IMF Extended Fund Facility (EFF) conditionality, these zones would be phased out by 2035 to eliminate distortions and bring sectors at par under the tax regime. After detailed deliberations, the Convenor recommended that EPZs and SEZs should not be adversely affected and called for renegotiation of the matter with the IMF, keeping Pakistan's industrial and investment interests in view. ‎ ‎The Sub-Committee was also briefed on the Battery Energy Policy, aimed at promoting the production of modern sodium and lithium batteries. It was informed that the policy is currently under review by a committee headed by the Deputy Prime Minister and is expected to be finalized soon. ‎ ‎The Ministry also briefed the Committee on the National Auto Policy, particularly measures to promote the production and use of Electric Vehicles (EVs). It was apprised that viability gap funding is available to support the establishment of 3,000 EV charging stations across Pakistan on an initial basis. The Convenor stressed that appropriate safeguards must be incorporated to protect and promote local industry while encouraging the transition towards electric mobility. ‎ ‎The Sub-Committee also discussed challenges confronting the housing and construction sectors. It was observed that cities need to expand vertically to address growing urbanization; however, high Floor Area Ratio (FAR) fees in the capital contribute to increased construction costs and inflated apartment prices. The Convenor recommended reviewing and revising the existing FAR fee structure to facilitate affordable housing and construction activity. ‎ ‎The Sub-Committee took up the issue of early market closures affecting businesses, particularly in the wake of power outages. The Committee was informed that the current power situation was linked to disruptions in RLNG consignments and subsequent load-management measures aimed at keeping electricity prices lower. The Convenor recommended the gradual restoration of normal business hours, initially proposing an increase of at least 30 minutes in the existing market closure timings. ‎ ‎The Securities and Exchange Commission of Pakistan (SECP) briefed the Sub-Committee on unauthorized and illegal share transfers and legal disputes arising from forged signatures and other unlawful practices. The Committee was informed that SECP has undertaken digitalization of the share market and is taking strict action against individuals and companies involved in illegal activities. ‎ ‎The Competition Commission of Pakistan (CCP) also briefed the Sub-Committee on measures against cartelization and other anti-competitive practices, including action relating to fraudulent internal audits. ‎ ‎The Sub-Committee reiterated that coordinated institutional reforms, greater facilitation of businesses and a predictable, business-friendly regulatory environment are essential for promoting investment, industrial growth, employment and sustainable economic development in the country.