Debt Burden, Weak Productivity and Climate Risks Weigh Heavily on Pakistan’s Economic Outlook
The State Bank of Pakistan’s latest report highlights how debt, low savings, weak productivity, and climate shocks are undermining economic stability. With a fragile growth outlook, the central bank urges structural reforms, financial inclusion, and human capital development to sustain long-term economic resilience.
FBR Admits Rs3.6 Trillion Sales Tax Gap, Pushes Digital Tracking for Retail Sector
The Federal Board of Revenue has admitted to a Rs3.6 trillion sales tax gap, highlighting structural challenges in Pakistan’s fragmented retail sector. Despite record enforcement claims, the FBR looks toward digital invoicing and supply chain tracking to address revenue losses.
Rethinking the Criticism: Why Banks Prefer Government Lending Amid Pakistan’s Economic Realities
Furqan Ali critiques the widespread perception of opportunism in Pakistan’s banking sector, arguing that reliance on government lending is a calculated response to deeper structural flaws. He urges for major public finance and economic reforms to enable a more balanced credit environment.
SBP Warns Cutting Remittance Incentives Could Push Billions Back to Informal Channels
The State Bank of Pakistan has cautioned that reducing incentives under the Pakistan Remittance Initiative could divert critical inflows away from formal banking channels, threatening the country’s top source of foreign exchange.