Federal budget disappoints nation, especially youth: Ghulam Ali

Peshawar
Former President of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI) and ex-Governor of Khyber Pakhtunkhwa, Haji Ghulam Ali, has strongly criticized the federal budget, calling it a major setback to national progress and deeply disappointing for the country’s youth, who constitute over 65% of the population.
In a statement issued regarding the federal budget 2025-26, Haji Ghulam Ali said that instead of offering relief to the already burdened public grappling with inflation, unemployment, power outages, and overbilling, the government has opted to impose additional taxes, raising serious concerns about the direction of the country’s development policies.
He condemned the imposition of 18% sales tax on the import of solar panels, calling it a dishonest and anti-public move. “How can we impose taxes to protect local industry when our own manufacturing capabilities are not yet able to meet the demand? First strengthen the industry, then talk of protection,” he said.
Haji Ghulam Ali emphasized that in the absence of public sector job creation, the government should have announced incentives for small industries and promoted self-employment schemes to provide skilled youth a viable path forward. “Where are the youth supposed to go?” he asked. He noted that the budget offers no roadmap for job creation, skill development, or self-employment. “By cutting 40,000 government jobs and failing to create private sector opportunities, the government has pushed the youth into further despair,” he added.
He also lamented that the agricultural sector — considered the backbone of Pakistan’s economy — was entirely neglected. No significant allocations were made for agricultural research, modern farming techniques, irrigation systems, quality seeds, or farmer support, which has driven the sector toward collapse despite Pakistan being an agricultural country.
Highlighting the tax on solar panel imports, he said that this step has made clean and affordable green energy inaccessible to the public, particularly at a time when electricity tariffs are skyrocketing and power outages are worsening. “The government should have subsidized solar panels for underprivileged areas or provided them at half the cost as promised by provincial governments, but instead, the sector has been burdened with taxes.”
He also opposed the hike in petroleum levy, warning it will significantly impact transport, food prices, and everyday life. “How will our children, who rely on a few hundred rupees’ worth of petrol to get to school or college, survive under this crushing inflation?”
Haji Ghulam Ali demanded immediate withdrawal of the 18% sales tax on solar energy equipment and the petroleum levy hike. He urged the government to introduce self-employment schemes, vocational training programs for youth, and prioritize agriculture and agri-research in the national budget.
He concluded, “This is the only path to real national development. If the current approach continues, we will sink deeper into inflation, unemployment, and food insecurity. To revive our economy, especially in Khyber Pakhtunkhwa, the government must announce exemptions from sales and income tax for small industrial estates.”