Pakistan Textile Council (PTC) Chairman Fawad Anwar has urged the government to introduce a 10 year fixed rate financing facility for industrial investment, restore the Final Tax Regime (FTR) for exporters, and abolish advance taxes on the export sector in the upcoming federal budget, saying these measures are critical to boost investment, strengthen exports, and improve Pakistan’s competitiveness in international markets.
Fawad Anwar said the export sector continues to face challenges including high financing costs, elevated energy tariffs, liquidity constraints, and an increasingly complex tax regime, which are discouraging new investment and limiting export growth.
“The upcoming budget presents an opportunity to move the economy towards investment led and export driven growth. A competitive policy framework, including long term financing at fixed rates, restoration of FTR, and removal of advance taxes, will provide much needed certainty to investors and exporters,” he said.
The PTC chairman emphasized that industrial projects require long term planning and predictable borrowing costs. He said a dedicated financing facility with a fixed markup rate for up to 10 years would encourage industrial expansion, technology upgrades, and the establishment of new export oriented manufacturing units.
He added that exporters should not face multiple advance tax deductions that negatively impact cash flows and increase the cost of doing business. According to him, the restoration of the Final Tax Regime would simplify the taxation system, improve documentation, and allow exporters to focus on increasing production and exports.
PTC noted that Pakistan has significant untapped export potential and is well positioned to benefit from the ongoing reconfiguration of global supply chains. However, the council said this opportunity can only be realized through policies that lower the cost of doing business and provide a stable environment for investment.
“Exports remain Pakistan’s most sustainable source of foreign exchange earnings and job creation. The right budgetary decisions can unlock new investment, increase production capacity, and place the economy on a stronger growth trajectory,” Anwar said.
The council expressed hope that Budget 2026-27 would include practical and growth oriented reforms aimed at supporting exporters, attracting investment, and strengthening Pakistan’s position as a competitive manufacturing and export hub.