IMF yet to decide on budget relief request

Seeking effective and practical steps for the realisation of agriculture income tax and improvements in retail sector taxation, the International Monetary Fund (IMF) has yet to take a position on Pakistan’s request for relief measures in the upcoming budget, due on June 2. The authorities, however, have committed to meeting any revenue shortfall through reduced expenditure in the Public Sector Development Programme (PSDP) during the current year. An increase in the petroleum levy and the introduction of a carbon levy on petroleum and other energy products are expected to be part of the forthcoming budget, sources said. Informed sources told Dawn that, on the directives of Prime Minister Shehbaz Sharif, officials at the Ministry of Finance and the Federal Board of Revenue (FBR) have discussed possible relief measures with the IMF mission, which has been engaged in budget discussions since May 14.