Brokerage house sees super tax relief in upcoming budget

KARACHI: Arif Habib, founder and CEO of Arif Habib Corporation, expects the government to reduce the super tax in the upcoming federal budget for FY2025-26, offering relief to industries and salaried individuals.

Speaking to reporters at the Pakistan Stock Exchange (PSX) on Monday, Habib said Prime Minister Shehbaz Sharif had indicated in a recent meeting that the budget -- set to be unveiled on June 2 -- would include broader incentives.

“I think we can also expect a reduction in the super tax in particular,” he noted.Habib also commented on geopolitical developments, accusing India of wrongly blaming Pakistan amid recent cross-border tensions. “India misled its people and is now facing backlash both publicly and in parliament. Meanwhile, Pakistan has emerged as a hero,” he said.

He highlighted the stock market’s strong response to a wave of positive developments, including a ceasefire agreement with India, IMF programme approval, and an interest rate cut. The KSE-100 index surged nearly 10,000 points in Monday’s session.

“Pakistan is progressing economically and proving its strength on the global stage,” he added.In a surprise diplomatic breakthrough, Pakistan and India agreed to a ceasefire on Saturday. US President Donald Trump confirmed the truce and offered to help mediate a resolution over Indian Illegally Occupied Kashmir.