KARACHI – June 27, 2025:
The Karachi Chamber of Commerce and Industry (KCCI) has launched a citywide protest campaign against what it terms as “oppressive and anti-business” provisions in the Finance Bill 2025-26, particularly targeting the proposed Section 37AA of the Sales Tax Act.
In a strongly worded statement, KCCI President Muhammad Jawed Bilwani accused the Federal Board of Revenue (FBR) of acting unilaterally and ignoring the Business Anomalies Committee, which includes presidents of chambers and trade associations from across the country.
“This is just the beginning,” Bilwani warned. “If our voices continue to be ignored, the protests will expand. Press conferences will follow, and we may even be forced to call for citywide or nationwide strikes.”
Business Community United Against Section 37AA
Bilwani specifically criticized Section 37AA, calling it a “draconian law” that gives FBR unchecked powers to:
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Freeze bank accounts
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Seize business funds
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Arrest taxpayers — even on mere suspicion
“How can anyone operate under such hostile conditions?” he asked. “This isn’t regulation; it’s intimidation.”
According to KCCI, the law disregards even fully compliant businesses and sends a dangerous message to both local entrepreneurs and international investors.
Business Leaders Eye Relocation Amid Mounting Pressure
Bilwani revealed that many business owners have approached KCCI to explore the possibility of relocating operations abroad due to Pakistan’s increasingly uncertain business environment.
“Our members are saying they’d rather invest in more stable and business-friendly countries. This isn’t just a Karachi issue — it’s a national concern.”
He pointed to rising energy costs, gas and water shortages, poor infrastructure, and long delays in tax refunds as factors pushing exporters and manufacturers to the brink.
No Real Relief for Exporters or Industrialists
Bilwani dismissed the finance minister’s claims that the budget is “public- and business-friendly,” calling such statements “detached from the realities on the ground.”
“There’s no relief for exporters. We survive not because of policy support, but because of our own resilience. Even our buyers abroad are urging us to move operations elsewhere.”
Growing Nationwide Frustration
KCCI stated that its concerns are echoed by other major chambers across Pakistan, including in Faisalabad, Lahore, and Sialkot — the country’s key export hubs.
“This frustration isn’t isolated. It’s nationwide. The entire business community is demanding action, not rhetoric.”
Bilwani urged the prime minister and federal government to intervene immediately, review Section 37AA, and engage in meaningful dialogue with business leaders before irreversible damage is done to investor confidence and industrial stability.
Protest Campaign Underway
As part of its protest, KCCI has put up banners across Karachi and plans to host press briefings, mobilize other trade bodies, and, if required, escalate to full-scale strikes.
“We’re not asking for favors — we’re asking for fairness,” said Bilwani. “The government must act now before it’s too late.”
