Islamabad, April 11: A technical team from the International Monetary Fund (IMF) is scheduled to arrive in Pakistan on April 14, 2025, to begin discussions with the Federal Board of Revenue (FBR) regarding taxation proposals for the upcoming 2025–26 federal budget.
This visit is part of ongoing efforts to align Pakistan’s fiscal framework with IMF recommendations, particularly in the area of revenue mobilization.
The discussions will primarily focus on strategies to broaden the country’s tax base.
The FBR plans to propose new measures aimed at bringing retailers and other currently untaxed sectors into the formal tax system.
At the same time, the government is eager to provide relief to the salaried class by reducing tax rates, a move intended to ease financial pressure on middle-income earners.
Among the key issues on the table will be the possible inclusion of the highest-income pension earners into the tax net — a proposal expected to generate debate as it marks a potential shift in the treatment of pensions in the tax system.
The IMF team is expected to remain in Islamabad for more than a week.
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Concurrently, the IMF’s technical mission on governance and anti-corruption diagnostic assessment, which has been conducting evaluations in Pakistan, is set to conclude its visit and depart next week.
Meanwhile, a high-level Pakistani delegation led by Finance Minister Muhammad Aurangzeb will travel to Washington, D.C. to attend the annual spring meetings of the Bretton Woods Institutions — the IMF and the World Bank — from April 21 to 26, 2025.
The meetings are expected to provide an important platform for Pakistan to engage with international financial institutions and secure further support for economic reforms and climate financing initiatives.
