ISLAMABAD – Pakistani government is preparing surprise mini-budget that could hit consumers hard, as new taxes and levies are likely to be slapped on cars, cigarettes, and electronic goods, all in name of flood rehabilitation.
Sources reveal that over 1,100 imported items may face fresh federal levies, with the government eyeing a whopping Rs. 50 billion in extra revenue, a figure that could climb even higher. If approved by Prime Minister Shehbaz Sharif, the mini-budget will not only plug the revenue gap but also bankroll flood relief and mega projects, including the Jinnah Medical Complex in Islamabad.
Luxury lovers will face heat as imported cars, cigarettes, and high-end electronics may soon burn an even bigger hole in your pocket, as authorities contemplate a Federal Flood Levy.
Sources claimed that the move comes just ahead of crucial talks with the International Monetary Fund (IMF), making imported luxury goods the prime target.
Federal Board of Revenue (FBR) is already struggling, missing its August tax collection target by Rs. 50 billion, gathering Rs. 901 billion against the Rs. 951 billion goal. With the annual target set at a massive Rs. 14.1 trillion, falling revenues amid floods, low energy consumption, and sluggish business activity are compounding the crisis.
Pakistan is reeling from catastrophic monsoon floods that have killed nearly 1,000 people, 250 of them children, and displaced 25Lac. Punjab is underwater, with 2.2 million hectares of crops destroyed and food prices soaring. Entire villages have been swallowed, bridges and roads washed away, and millions left stranded.
Aid agencies warn of rising disease outbreaks as malaria, dengue, and cholera spread in overcrowded camps. Relief efforts are struggling to keep pace, with many areas reachable only by boat or helicopter.
