Pakistan urges businessmen to bring back $10B before budget

Pakistan’s Federal Interior Minister Mohsin Naqvi on Tuesday urged the country’s business community to repatriate a portion of their overseas capital before the upcoming federal budget, warning that roughly PKR 100 billion had left the country over the past three years.

Addressing the Karachi Chamber of Commerce, Naqvi said even if businessmen brought back just 20 to 30 percent of funds held abroad, mainly in Dubai and other offshore destinations, through the Roshan Digital Account, it could exceed $10 billion.

“We are not asking you to bring everything back. Use the Roshan Pakistan app, transfer it through the account, and you will see what happens,” he said.

Naqvi also unveiled plans for a major urban development project on land near the Margalla Hills behind the Prime Minister’s House in Islamabad. Described as a blend of Shanghai and Manhattan, the project will feature high-rise buildings and mixed-use developments. A detailed investor briefing is expected soon, with the initiative being pitched as a landmark opportunity for both local and overseas investors.

The minister acknowledged a longstanding trust deficit between the government and the private sector but said the next three months before the budget were critical.

“If you give one gesture, we can argue four times harder for you in every room,” he told the audience.

“If someone still thinks we cannot trace how money is being moved out, I believe picking up just one or two people in Karachi would reveal everything,” he warned.

Naqvi took aim at the informal money exchange sector, calling it a key channel for illegal capital flight rather than a legitimate service. He said six to seven major groups in Karachi had already been identified by the Federal Investigation Agency and warned of strict action.

“Banks can do everything money changers do. We only keep money changers so some people can move their funds quietly,” he said, adding that a formal review of the sector was being planned with the finance ministry.

Signaling a shift in approach, Naqvi said the Federal Investigation Agency would close thousands of pending business-related inquiries to restore investor confidence.

“We will make the FIA as business-friendly as possible,” he said, adding that visible changes would come before year-end.

He revealed plans for a dedicated business passport for verified Pakistani businessmen, requiring tax records and proof of business activity. Discussions have already been held with countries including China, the United States, the United Kingdom and European nations for faster visa processing and dedicated immigration counters.

Naqvi announced a 16-month tax exemption for investors building new hotels in Islamabad, with an investment conference scheduled for April 21. The move aims to address a shortage of hotel capacity ahead of the upcoming Shanghai Cooperation Organization conference.

He also highlighted Astola Island as a potential world-class resort destination, saying development there could rival top global tourist spots. A visit with the Balochistan chief minister is planned to assess feasibility.

Naqvi concluded on a conditional but optimistic note: “Pakistan gives you back more than anywhere else in the world… but we need to fix the trust. One gesture from the business community before this budget would change everything."