“Current Economic System is Exploitative, the World Needs an Islamic Economic System” – Hafiz Naeem ur Rehman
Pakistan is a Nuclear Power, It Cannot Be Made Bankrupt — Rulers Should Cut Their Privileges, Budget Must Provide Relief to Salaried Class, Small Farmers, and Common People
Address by the Ameer of Jamaat-e-Islami at Pre-Budget Seminar
Islamabad (Web News)
Ameer of Jamaat-e-Islami Pakistan, Engineer Hafiz Naeem ur Rehman, has stated that the world needs a new economic system, and only Islam can provide that system, as the current one is based on exploitation. Blindly following IMF directives will not lead to economic stability; global financial institutions act as tools of imperialist powers. The United States is in debt of $36 trillion, but the IMF never raises questions about it. However, it continues to issue orders to Pakistan.
While addressing a pre-budget seminar in Islamabad, the Jamaat-e-Islami chief said that Pakistan is a nuclear power and cannot be made bankrupt. The government should provide relief in the budget to the salaried class, small farmers, and ordinary citizens. The feudal elite must be held accountable. Unjust agreements with Independent Power Producers (IPPs) should be scrapped, and electricity prices should reflect actual costs. Interest-based systems must be replaced with the system of Zakat. The Federal Board of Revenue (FBR) has become a hub of corruption and has failed to implement tax reforms. He added that the rulers must be pressured to reduce their lavish perks and privileges.
He demanded that there should be full tax exemption on a salary of up to 120,000 rupees. Development funds for parliamentarians should be abolished, and the Public Sector Development Program (PSDP) must be made transparent. The seminar was also addressed by prominent economic experts, and other Jamaat-e-Islami leaders were present at the event.
Hafiz Naeem ur Rehman said that after defeating India, Pakistan has emerged as a significant global power. It is crucial to use this success to achieve stability and self-reliance. He emphasized that without changing the ruling elite and the current system, the nation’s conditions cannot improve. He said the budget is about to be announced, and people are worried about new taxes being imposed. Those already paying taxes fear further burdens.
He pointed out that a small exploitative class controls the majority of the world’s resources — less than 20% of people own the wealth of over 80%. The interest-based system is the root of exploitation. He criticized the U.S. for being the world’s most indebted country yet continuing to exploit both poor countries and its own people due to its power. When it’s in America’s interest, it supports monarchies, and when not, it demands democracy.
Hafiz Naeem added that in an Islamic society, mosques should act as centers for economic, judicial, and political activities. Activating mosques in this role would reduce the burden on courts. However, the ruling class that has been in power for the past 76 years will not implement such changes. He said that the current system is the worst and is protected by imperialist powers.
He stressed that Pakistan cannot compromise on its independence and sovereignty. As a nuclear nation, its armed forces have showcased their strength to the world against India. The trust earned in the recent conflict must be advanced further. He highlighted that imperialist powers enslave poor nations. He also criticized that despite last year’s budgetary goals not being met, the FBR — with thousands of employees — fails to deliver and even facilitates tax evasion amounting to a trillion rupees annually.
He asserted that honesty is essential for tax collection. The current system puts the burden entirely on the public — even salaries of 50,000 rupees are being taxed. Salaries up to 100,000 rupees should be exempt. A person earning 400,000 rupees pays 35% in taxes — what are they left with?
Hafiz Naeem also criticized the state of education, saying that people are forced to buy education, and 100 million Pakistanis live below the poverty line. The middle class is disappearing, and without it, the country cannot function. Educated people are leaving the country due to lack of job opportunities. He blamed government policies for this exodus.
He said the IMF advises cutting perks, but the ruling elite does not reduce theirs. If the economy is in crisis, the bureaucracy must cut its privileges. He stated that discussions with 27 IPPs have yielded results; if 100 are negotiated with, electricity prices could be halved. Those who signed the agreements with IPPs are colluding with them — otherwise, no one can blackmail the government. Many IPPs are not even paying taxes.
He noted that 26.2 million children are out of school, and if education is made a priority, 2,000 billion rupees would suffice to provide free education. Due to high costs, 80% of Pakistan’s population is not even in the race for education. He questioned where the provincial education budgets go. In Punjab, schools are being handed over to the private sector. The Sharif family is spending billions on personal publicity, and not even a picture of Dr. Abdul Qadeer Khan was published on Youm-e-Takbeer.
He said that cosmetic measures like the “Kisan Card” won’t solve real issues. The ruling elite must reduce their privileges and provide relief to the public. He concluded by stating that all civilizational problems can be solved through the Islamic system. Other speakers also said that 80 to 100 million people in Pakistan live in poverty and cannot escape it under the current system. Indirect taxation puts the greatest pressure on the poor. Implementing the Islamic system would eliminate inflation. Up to 2,000 billion rupees could be collected through Zakat in Pakistan.