Karachi, October 6, 2025 – Pakistan has provided a substantial tax exemption of Rs61 billion during the tax year 2023–24 under various Free Trade Agreements (FTAs) and Preferential Trade Agreements (PTAs), according to the Tax Expenditure Report 2025 issued by the Federal Board of Revenue (FBR). The report highlights that these exemptions were aimed at strengthening bilateral and regional trade partnerships while promoting economic cooperation with key trading allies, including China, Malaysia, Indonesia, and Sri Lanka. The total value of tax exemptions and concessions increased significantly from Rs44.1 billion in the previous fiscal year to Rs60.97 billion in 2023–24. A major portion of the exemption—approximately Rs47.16 billion—was granted under the Pak-China FTA, representing the highest benefit extended to a single trading partner. Imports under the Pak-Malaysia PTA followed with Rs4.99 billion in relief, while the Pak-Indonesia PTA contributed Rs5.42 billion in duty exemptions. Other agreements also received notable concessions, such as the Pak–Sri Lanka FTA with Rs2.50…