The Ministry of Finance has strongly rejected a media report claiming that Deputy Prime Minister Ishaq Dar has been given control of the federal budget-making process. The ministry termed the report misleading and factually incorrect.
In its statement issued on Thursday, the ministry said the report created a false impression that budget authority had been shifted away from the Finance Division or that the finance minister had been sidelined.
The clarification came after reports suggested that a high-level committee led by Ishaq Dar had been formed to review tax policy proposals for the upcoming budget. It was also claimed that another committee headed by Economic Affairs Minister Ahad Khan Cheema would oversee enforcement-related measures.
The finance ministry said the formation of such committees does not amount to transferring budget-making authority. It said these are routine consultative mechanisms used to review and refine policy proposals before final approval.
Officials said the prime minister is fully empowered to form committees and involve cabinet members in reviewing important fiscal matters. They said this is especially necessary for decisions that may affect taxation, inflation, investment and overall economic stability.
The ministry stressed that the federal budget process remains under the Finance Division. It said core functions such as macroeconomic planning, fiscal strategy, expenditure management and international coordination continue to be handled by the finance ministry.
It added that Finance Minister Muhammad Aurangzeb remains fully responsible for the budget process. He is also leading Pakistan’s engagement with international financial institutions, including ongoing discussions with the IMF.
According to the statement, the committees referred to in the report are only meant to review technical proposals prepared by the Tax Policy Office. Their role is advisory and aimed at improving coordination between different ministries.
The ministry said such inter-ministerial consultation processes are a normal part of government operations. They are commonly used to ensure better policy alignment before final decisions are made.
Officials also rejected claims of any internal division within the government over budget preparation. They said the entire process remains collective and cabinet-driven, working under the leadership of the prime minister.
