A high-level meeting of the Prime Minister’s Committees on Industrial Policy was held today under the chairmanship of the Special Assistant to the Prime Minister (SAPM) on Industries and Production, Mr. Haroon Akhtar Khan.
During the meeting, the committee members finalized the recommendations of eight specialized sub-committees. These proposals were reviewed in detail, marking the beginning of the implementation phase for the country’s new industrial policy.
Mr. Haroon Akhtar Khan highlighted that the contribution of the industrial sector to GDP has declined from 26% in 1996 to 18% in 2025, stressing the urgent need to revive the sector. He emphasized the importance of boosting exports and developing import substitutes to stabilize the economy.
To address the challenges facing the industrial sector, eight sub-committees were constituted. Among their key proposals:
The State Bank of Pakistan will issue guidelines for the revival of sick industries and resolution of debts.
Amendments have been proposed to the Corporate Rehabilitation Act 2018.
Banks have been advised to use data forecasting tools to detect early signs of industrial sickness.
Industrial unit classification has been determined in consultation with the Pakistan Banking Association.
To incentivize manufacturing, a reduction in corporate tax from 29% to 26% over three years has been recommended. Amendments to the SECP Act, Anti-Money Laundering Act, and the Income Tax Ordinance have also been proposed.
To ensure swift execution, SAPM Haroon Akhtar Khan has formed 10 new implementation sub-committees and instructed them to show tangible results within a week.
He stated that the new industrial policy is comprehensive and has the potential to usher in an industrial revolution in Pakistan. Commending the committees for their exceptional performance in a short span, Mr. Khan added that the finalized recommendations have been presented to Prime Minister Shehbaz Sharif, who appreciated the effort.
