Government sets 4.8% GDP growth target for FY22

[Syed1.]

This is the target set by the Planning Ministry

https://twitter.com/x/status/1398279270242394118

However, as per Asad Umar's own opinion this is a conservative number and actual growth will definitely be higher, this makes sense because even in current FY21 the final growth is expected to be 4.5 - 4.7%,

This is what happens when you have blood thirsty hounding media and absolute filth for opposition. Government is afraid of setting an ambitious target because if they miss it the media/opposition won't see that growth is excellent they will see that ambitious target is missed. Anyways, the growth in FY22 will easily be around 5.2%.

 

[hydrabadi_arab]

FY22 Rs55 trillion GDP. With rebase on the way that will increase by 10-15%. We can expect GDP by end of FY22 to be around Rs63 trillion which at current exchange rate will be $405 billion.

 

[Syed1.]

FY22 Rs55 trillion GDP. With rebase on the way that will increase by 10-15%. We can expect GDP by end of FY22 to be around Rs63 trillion which at current exchange rate will be $405 billion.

Aray bhai bhai hosla....

 

[ziaulislam]

Aray bhai bhai hosla....

biggest problem Pakistan has..is lack of revenue generation, lack of savings and lack of investments

and these haven't been really fixed..we tried but the resistance was too high and govt gave up

with rebasing..the pressure will be higher on FBR to do something

too much corruption in sales tax is going on in the century just fixing that will add 1-2 trillion rupees..which translates into 1-2% growth if spent via PSDP

 

[hydrabadi_arab]

Aray bhai bhai hosla....

?? Pakistan still is using 2006 GDP base. There should be increase of 10% at minimum when rebase of 2016 is done.

biggest problem Pakistan has..is lack of revenue generation, lack of savings and lack of investments

and these haven't been really fixed..we tried but the resistance was too high and govt gave up

with rebasing..the pressure will be higher on FBR to do something

too much corruption in sales tax is going on in the century just fixing that will add 1-2 trillion rupees..which translates into 1-2% growth if spent via PSDP

Yep, with rebase GDP to tax ratio will come further down. Once again proving the fact that tax collection isn't up to the mark.

 

[Syed1.]

biggest problem Pakistan has..is lack of revenue generation, lack of savings and lack of investments

and these haven't been really fixed..we tried but the resistance was too high and govt gave up

with rebasing..the pressure will be higher on FBR to do something

too much corruption in sales tax is going on in the century just fixing that will add 1-2 trillion rupees..which translates into 1-2% growth if spent via PSDP

True..

Revenue target for FY22 will be Rs 5,800b which as per today's GDP is 12%, but by then GDP size would also have grown so tax to GDP may only be about 10% by end of FY22, provided we meet the target. A country cannot substantially expand economy till it starts collecting atleast 20% of GDP in tax. We may never get there because inorder to do so large land holders will have to be heavily taxed and all our parliamentarians come from big landed class.

biggest problem Pakistan has..is lack of revenue generation, lack of savings and lack of investments

and these haven't been really fixed..we tried but the resistance was too high and govt gave up

with rebasing..the pressure will be higher on FBR to do something

too much corruption in sales tax is going on in the century just fixing that will add 1-2 trillion rupees..which translates into 1-2% growth if spent via PSDP

Today in Asad Umar's press conference (video in OP)... he mentioned that PSDP for FY22 will be around 900b which is 250b more than current FY. Just this 250b increase will add 0.25% increase in GDP growth so imagine if we increase PSDP by 2tr we could add 1-2% in GDP growth as you mentioned and easily start hitting serious growth numbers like 7-8%.


At that growth rate we could double our economy in 5-6 years.

 

[alee92nawaz]

This is the target set by the Planning Ministry

https://twitter.com/x/status/1398279270242394118

However, as per Asad Umar's own opinion this is a conservative number and actual growth will definitely be higher, this makes sense because even in current FY21 the final growth is expected to be 4.5 - 4.7%,

This is what happens when you have blood thirsty hounding media and absolute filth for opposition. Government is afraid of setting an ambitious target because if they miss it the media/opposition won't see that growth is excellent they will see that ambitious target is missed. Anyways, the growth in FY22 will easily be around 5.2%.

How long before realistically we can become a trillion dollars economy?

 

[Hakikat ve Hikmet]

No wonder the West is offering to Pak honey laced with poison.....

 

[ziaulislam]

True..

Revenue target for FY22 will be Rs 5,800b which as per today's GDP is 12%, but by then GDP size would also have grown so tax to GDP may only be about 10% by end of FY22, provided we meet the target. A country cannot substantially expand economy till it starts collecting atleast 20% of GDP in tax. We may never get there because inorder to do so large land holders will have to be heavily taxed and all our parliamentarians come from big landed class.

Today in Asad Umar's press conference (video in OP)... he mentioned that PSDP for FY22 will be around 900b which is 250b more than current FY. Just this 250b increase will add 0.25% increase in GDP growth so imagine if we increase PSDP by 2tr we could add 1-2% in GDP growth as you mentioned and easily start hitting serious growth numbers like 7-8%.


At that growth rate we could double our economy in 5-6 years.

sales/levy tax missed on just petroleum products is almost 200-300b rupees
tourism/services is worth 100s of billion
and count most of informal sector..it runs in trillions

govt needs to enforce this but this will be highly unpopular

the only way is to track and follow, follow Chinese model where everything is digital, people havent seen cash in years

 

[ziaulislam]

True..

Revenue target for FY22 will be Rs 5,800b which as per today's GDP is 12%, but by then GDP size would also have grown so tax to GDP may only be about 10% by end of FY22, provided we meet the target. A country cannot substantially expand economy till it starts collecting atleast 20% of GDP in tax. We may never get there because inorder to do so large land holders will have to be heavily taxed and all our parliamentarians come from big landed class.

Today in Asad Umar's press conference (video in OP)... he mentioned that PSDP for FY22 will be around 900b which is 250b more than current FY. Just this 250b increase will add 0.25% increase in GDP growth so imagine if we increase PSDP by 2tr we could add 1-2% in GDP growth as you mentioned and easily start hitting serious growth numbers like 7-8%.


At that growth rate we could double our economy in 5-6 years.

Atleast he has his eye on the game..goodjob IK

https://twitter.com/x/status/1398184421375758336

This is what i am saying CAD may go up now trick is to keep it at 1-2% and streamline all your foreign inflows
Foreign inflows from AB WB AIIB and china should be streamlined so we dont need to scramble for money

 

[BRAVO_]

pakistna has a undocumented economy of 180 Billion $ it is more than 60% or our total GDP, improvement in FBR and other institutions can easily enable pakistan to get the desired target and even beyond

 

[Syed1.]

Atleast he has his eye on the game..goodjob IK

https://twitter.com/x/status/1398184421375758336

This is what i am saying CAD may go up now trick is to keep it at 1-2% and streamline all your foreign inflows
Foreign inflows from AB WB AIIB and china should be streamlined so we dont need to scramble for money

Asad Umar predicts CAD to be 0.8% of GDP or roughly $2b in FY22

 

[Chacha_Facebooka]

pakistna has a undocumented economy of 180 Billion $ it is more than 60% or our total GDP, improvement in FBR and other institutions can easily enable pakistan to get the desired target and even beyond

Tareen did talk about increasing the tax net by 0.5%-1.0% every year over next 10 years.

 

[PakAlp]

What do you guys think about Transaction Based tax system instead of the current income based one? Would it be more beneficial for Pakistan.

FBR is a failure big time. Pakistan needs a new reformed tax authority.

 

[hydrabadi_arab]

Unfortunately in Pakistan economic growth comes with higher imports and we may head towards IMF again after 2023. Unless all that extra money in people hands is somehow taken off them with unpopular decisions. Need to think out of box to collect taxes.