Saquib Fayyaz Magoon urges government to prioritize business growth over aggressive tax targets
KARACHI — Senior Vice President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Saquib Fayyaz Magoon, has warned that high tax rates and unstable economic policies are discouraging both local and foreign investment in Pakistan, despite growing global interest in the country’s market potential.
He said Pakistan currently offers strong investment opportunities, particularly as its international image improves amid regional developments. However, he stressed that policy inconsistency and a complex taxation system remain major barriers to sustainable economic growth.
“Business Growth Must Come Before Revenue Targets”
Speaking at a dinner event attended by business leaders and diplomats, Magoon emphasized that economic stability cannot be achieved through tax collection targets alone.
He referred to reports suggesting that the government has committed to an Rs15 trillion tax target for the upcoming fiscal year, noting that even this year’s target has not been fully achieved.
He cautioned that without expanding industrial and commercial activity, revenue ambitions would remain difficult to sustain.
Call for Policy Reform and Investor Confidence
Magoon said that while Pakistan is currently attracting interest from global investors, the benefits cannot be realized unless economic policies are revisited.
He said high tax rates, regulatory complexity, and policy instability are pushing away both domestic entrepreneurs and foreign investors.
He stressed that Pakistan must create a business-friendly environment to capitalize on its improved investment outlook.
Importance of Industrial Growth and Exports
The FPCCI leader highlighted that overseas remittances have supported Pakistan’s economy, but long-term stability depends on industrial expansion and export growth.
He added that the business body has already submitted budget proposals aimed at addressing structural issues in the economy.
Support for Women Entrepreneurs
Magoon also reiterated FPCCI’s commitment to supporting women entrepreneurs through mentorship, platforms, and business facilitation initiatives.
He said inclusive participation is essential for strengthening Pakistan’s economic base.
Industry Unity and Cotton Sector Issues
Chairman of the Pakistan Cotton Ginners Association (PCGA), Sham Lal Manglani, also spoke at the event, emphasizing unity within the business community as key to resolving industry challenges.
He highlighted his long association with FPCCI and acknowledged Magoon’s support in encouraging greater engagement with trade bodies.
Event Attendance
The gathering was attended by representatives from various business sectors, including diplomats such as the Consul General of Indonesia and the Commercial Attaché of Iran, along with FPCCI office bearers and trade association leaders.
