Resumption of trade with India urged to address people’s woes
Political economist Dr Pervez Tahir on Wednesday called for revival of trade with India to decrease people’s woes. He said the federal cabinet’s size should be cut down in conformity with the requirement of the 18th Amendment. Since the federal development spending is financed by borrowing, it ought to be reduced to zero until the budget is balanced, he said, adding that defence expenditure “has a tail longer than… necessary”. It’s time to improve the tooth-to-tail ratio, he stressed. Dr Tahir was addressing the participants of the Third Asma Jahangir Memorial Lecture organised by the Human Rights Commission of Pakistan. Former PPP senator Farhatullah Babar also spoke at the event, which was moderated by rights activist Nasreen Azhar. Dr Tahir suggested that income of big landholders must be subjected to normal income taxation. Wealth tax, inheritance tax and estate duties need to be re-imposed, he said, adding that there should be no increase in indirect taxes. Provinces should devote 50 per cent of their income to development budget and provide the corresponding current budget to fully comply with Article 25-A within two years, he said.