Islamabad: In a pivotal session at the Parliament House, the *Senate Standing Committee on Finance and Revenue, chaired by **Senator Saleem Mandviwalla, commenced its first session for deliberations on the **Finance Bill 2025, encompassing the Annual Budget Statement laid before the House on **10th June 2025, under **Article 73 of the Constitution*.

The session saw a notable appearance by *Federal Minister for Finance and Revenue, Muhammad Aurangzeb, who delivered a sweeping overview of the budget, economic progress, and the geopolitical headwinds confronting Pakistan. Notable Senators in attendance included **Farooq Hamid Naek, Mohsin Aziz (virtually), Syed Shibli Faraz, Anusha Rahman Ahmad Khan, Fesal Vawda, Ahmed Khan, and **Muhammad Abdul Qadir*.

Federal Minister for Finance and Revenue while addressing the introductory session said that World Bank Executive Board meeting held just yesterday approved financing.

Highlighting resilience in global financial institutions, he announced, 'The World Bank has approved financing for the Reko Diq project. IFC will now provide \$700 million in support.'

Minister Aurangzeb made a compelling case for fiscal responsibility, stating, 'We have not imposed any new tax in the budget. Instead, we've taken new tax measures worth **Rs. 312 billion* through compliance and enforcement.'* He confirmed that these steps were 'endorsed by the IMF under tax enforcement commitments.'

The Finance Minister shared encouraging economic data remarking that exports have increased by *7.8%* in the current fiscal year.' Last year's exports were *\$29 billion, this year we've already hit *\$30 billion in 11 months*.'

He said that there are no longer obstacles to opening Letters of Credit (LCs), and anyone saying otherwise is spreading misinformation.

Facing questions on privatization, Minister Aurangzeb admitted, 'It must be accepted that privatization targets were not achieved.' However, he reassured the Committee that 'PIA has now been brought back into the privatization stream.'

Responding to the long-standing debate on agricultural taxation, he asserted, 'Earlier it was said agriculture tax can never be imposed. Now, they say it can't be collected. We will collect it-just give us the chance.' Provinces are set to begin agricultural income tax collection *from July 1, 2025*.

*Senator Farooq H. Naek advocated raising the retirement age of bureaucrats to save pension costs,' declaring, 'A bureaucrat is fit and experienced at sixty; instead of benefiting from experience, we retire them prematurely.'

Echoing the sentiment, *Senator Anusha Rahman* pointed out, 'Retired officers instantly join semi-government institutions. Increasing the retirement age makes practical sense.'

In a supportive response, the Finance Minister revealed, 'The institution I came from had fixed the retirement age at **65. After the budget, we will evaluate this proposal seriously.'

It was also discussed that a new mechanism will be developed to eliminate non-filers. 'Steps will be taken to document the cash economy.'*

As the session concluded, it was evident that this budget is more than numbers-it is a strategic defense against external pressure, a reformist stance on internal leakages, and a cautiously optimistic push toward sustainable growth.

The Senate Standing Committee on Finance and Revenue will resume its second session tomorrow Saturday 14 June 2025 at 2:00 pm