Federal Budget: ICCI gives mixed response, applauds construction incentives
ISLAMABAD– The Islamabad Chamber of Commerce and Industry (ICCI) has termed the federal budget 2025-26 as largely inspiring, welcoming several positive initiatives particularly for the construction sector, which drives nearly 50 allied industries and plays a pivotal role in employment generation and tax revenue.
Addressing a well-attended press conference at the Chamber House on Tuesday, ICCI President Nasir Mansoor Qureshi praised the government’s allocation of funds for a cancer hospital in Islamabad and the significant reduction in stamp duty from 4% to 1%, calling these steps commendable.
However, he expressed concern over the absence of long-term economic planning and stressed the need for policies that ensure economic stability. “The government must focus on sustainable industrial growth instead of primarily chasing tax targets,” he stated.
Qureshi highlighted the missed opportunity of providing subsidized electricity to large-scale industries, which would have eased production costs and improved the business climate. He reiterated that the business community supports taxation, but it must be rational, realistic, and free from coercion.
Criticizing the decision to impose 18% sales tax on solar panels and hybrid vehicles from 12% to 18%, Qureshi called it a regressive move against green energy promotion. He also demanded a reduction in interest rates to single digits, which would support economic expansion.
Furthermore, the ICCI President urged the government to revisit agreements with Independent Power Producers (IPPs) to bring down energy costs and eliminate the burden of peak-hour charges on consumers and businesses.
At the outset, Qureshi paid rich tribute to the Pakistan Armed Forces, especially the Pakistan Air Force, for enhancing national prestige in the recent Pak-India clash and securing export orders for JF-17 Thunder jets, a move expected to boost the country’s defence production sector.
Prominent among those present at the press conference were Chairman Founder Group Shaikh Tariq Sadiq, Senior Vice President Abdul Rehman Siddiqui, Vice President Nasir Mehmood Chaudhry, former Presidents Mian Akram Farid, Zafar Bakhtawari, Khalid Javaid, Basir Dawood, Mian Shaukat Masood, Zahid Maqbool, Executive Members Sardar Tahir Mehmood, Imran Minhas, Zulqurnain Abbasi, Rohail Anwar Butt, Irfan Chaudhry, Waseem Chaudhry, Ishaq Sial, Umair Aziz Malik, Mian Sanaullah, Aftab Gujjar, Ms. Fatima Azim, Ms. Shumila Siddiqui and the business and industry leaders as well as the office bearers of the Markets Associations.