Aurangzeb: Pakistani Firms Exit Due to High Taxes & Costs

Pakistan Finance Minister‍ Addresses Multinational Company Departures

Pakistan’s Finance minister Muhammad Aurangzeb acknowledged on January 14, 2026, that⁢ several multinational corporations (MNCs) have⁢ ceased operations in Pakistan due to high taxes and energy costs. He urged ⁤these‍ companies to update ‍their business models to align with current global standards.

Since 2023, Procter & Gamble (announced ‍operations wind-down in December 2023), Eli Lilly (exited in 2022), Shell⁣ (exited in 2023), Microsoft (exited in⁣ 2024), Uber⁤ (exited in 2023), and‌ Yamaha (exited in 2024) ⁣have all discontinued operations within⁤ the country.

Aurangzeb made these remarks while speaking at the Pakistan Policy Dialog,‍ hosted by the⁢ Policy Research & Advisory Council (PRAC) ​in Islamabad.

“There ​are firms that ⁤are leaving Pakistan, which is​ true,⁣ and we must acknowledge if ⁣the taxation is high, energy cost is high, or financing cost, those have⁤ been real issues,” Aurangzeb stated. He added, “But it⁤ takes two to tango… ⁤if you‌ are wedged‍ into your business models from the last 50‌ years, it is indeed not going to work in the modern world.”

He pointed to Nestle and Unilever as examples of MNCs that continue to operate successfully in Pakistan,​ noting their use of local sourcing to maintain profitability.