Pakistan Poised to Lead Digital Cooperation as First Signatory of Digital and AI Compact at South Korea Summit
Pakistan is preparing to take a significant step toward strengthening its position in the global digital landscape, with the country expected to become the first signatory of the Digital and AI Compact at the Global AI and Digital Summit 2026 in South Korea. The development highlights Pakistan’s growing focus on artificial intelligence, digital transformation, and […]
Pakistan Considers New Tax Collection Agency as FBR Reform Plans Gain Momentum
Pakistan’s federal government is considering major changes to the country’s tax administration, including the possibility of establishing a new tax collection agency or further restructuring the Federal Board of Revenue (FBR). The move comes amid concerns over revenue performance and the limited results of previous reform efforts. Prime Minister Shehbaz Sharif has directed the FBR […]
Pakistan Moves Towards a National Digital Market to Strengthen Agriculture and Support Farmers
Pakistan’s agricultural sector could see significant changes under a new proposal by the Securities and Exchange Commission of Pakistan (SECP) to establish a national agricultural spot market. The proposed initiative aims to create a more organized system for buying and selling agricultural commodities while helping farmers secure better prices, reduce crop wastage and obtain financing […]
IMF Urges Pakistan to Strengthen Revenue Collection and Build Financial Reserves for Sustainable Growth
Pakistan’s economic recovery, fiscal reforms and long-term development priorities came under discussion during a meeting between International Monetary Fund (IMF) Deputy Managing Director Nigel Clarke and Federal Finance Minister Muhammad Aurangzeb on the sidelines of the World Bank Group–IMF Annual Meetings 2026 in Bangkok, Thailand. During the meeting, Clarke stressed the need for Pakistan to […]
SBP Introduces Banking on Equality Policy 2026 to Strengthen Women’s Financial Inclusion
The State Bank of Pakistan (SBP) has introduced the second edition of its Banking on Equality (BoE) Policy for 2026, reaffirming its commitment to improving women’s access to financial services and promoting gender equality in the banking sector. The policy aims to reduce the gender gap in financial inclusion to 25% by 2028 as part […]
Pakistan Explores Digital Bonds and Asset Tokenization as 75 Firms Seek Virtual Asset Licenses
Pakistan is taking new steps towards modernizing its financial sector by exploring digital bonds, asset tokenization and artificial intelligence (AI)-powered financial services in collaboration with the World Bank Group. The development comes as the country works to establish a regulated environment for virtual assets and attract both domestic and international businesses. According to the Pakistan […]
World Bank Proposes $200 Million to Boost KP Tax Revenue and Improve Public Services by 2031
The World Bank has proposed $200 million in financing to help Khyber Pakhtunkhwa (KP) strengthen its revenue collection system, improve public services and manage its finances more effectively. The initiative aims to nearly double the province’s own-source tax revenue in real terms, increasing it from Rs64 billion to Rs122 billion by June 2031. The proposed […]
Foreign Investors Seek FBR Reforms as Tax Certification Delays Stall Share Registration in Pakistan
Pakistan’s efforts to attract and retain foreign investment face another administrative challenge as overseas investors raise concerns over delays in obtaining tax exemption certificates from the Federal Board of Revenue (FBR). The delays are creating obstacles for the registration of foreign-held shares with the State Bank of Pakistan (SBP), even in cases where the relevant […]
Pakistan and UK Discuss New Aircraft Options to Revamp PIA Fleet
Pakistan is exploring fresh options to upgrade the fleet of Pakistan International Airlines (PIA), with the United Kingdom offering potential support involving Airbus aircraft and Rolls-Royce engines. The possibility of aircraft leasing, engine arrangements and export credit assistance was discussed as Pakistan and Britain looked for ways to address PIA’s immediate fleet requirements while keeping […]
FBR Introduces Online Facility for Steel Sector to Report Electricity Consumption
The Federal Board of Revenue (FBR) has introduced a new online mechanism to help steel manufacturers report their electricity consumption for sales tax purposes when power distribution companies fail to provide the required data on time. The facility is particularly relevant to steel melters, re-rollers and composite units, which are required to declare electricity consumption through Annex-K of […]
FBR Proposes Surcharge-Free ATL Entry for Late Tax Filers With Six-Month Property Restriction
The Federal Board of Revenue (FBR) has proposed a new relief mechanism for taxpayers who miss the income tax return filing deadline. Under the proposed changes, late filers may be allowed to join the Active Taxpayers’ List (ATL) without paying the applicable surcharge, provided they agree not to acquire property for a period of six […]
Pakistan’s AI Future Depends on Better Digital Infrastructure
Artificial intelligence is quickly becoming one of the biggest opportunities for countries seeking to expand their digital economies. Pakistan is also aiming to make AI a major part of its technology and export strategy, but the country faces a basic challenge: the infrastructure needed to support widespread AI use is still developing. A recent World […]
Pakistan’s Economy Shows Resilience Despite Hormuz Energy Crisis
Pakistan’s economy appears to be weathering the latest regional energy crisis better than many might have expected. Despite the disruption to oil and gas shipments through the Strait of Hormuz and a sharp increase in fuel and transportation costs, economic activity in Pakistan is continuing to expand. According to the World Bank’s October 2026 economic […]
Government Plans Stronger Debt Management Office to Improve Borrowing Strategy
The federal government is taking steps to strengthen Pakistan’s Debt Management Office (DMO) by introducing a dedicated leadership structure aimed at improving the way public borrowing and debt risks are managed. Under the proposed arrangement, the Head of the DMO will play a central role in shaping the government’s borrowing strategy, managing financial risks and […]
IMF May Reduce Pakistan’s Health and Education Spending Target
Pakistan’s provinces could receive some relief from their health and education spending obligations under the country’s ongoing programmed with the International Monetary Fund (IMF). The global lender is reportedly considering reducing the combined provincial spending target by around Rs300 billion, bringing it down from more than Rs4.2 trillion to approximately Rs3.9 trillion. The possible revision […]
KPRA Sales Tax Revenue Jumps 24% in First Quarter of FY27
The Khyber Pakhtunkhwa Revenue Authority (KPRA) has reported a significant increase in its Sales Tax on Services (STS) revenue during the first quarter of the financial year 2026-27, reflecting stronger tax collection and improved compliance across the province. According to figures released by the authority, KPRA collected Rs12.66 billion in Sales Tax on Services between […]
FBR Revises Sales Tax Rates for Steel Units in Former FATA and PATA
The Federal Board of Revenue (FBR) has introduced revised electricity-based sales tax rates for steel manufacturing units operating in the former Federally Administered Tribal Areas (FATA) and Provincially Administered Tribal Areas (PATA). The changes are aimed at maintaining the special tax treatment available to eligible steel businesses in these areas while setting different rates according […]
SECP Proposes Rs5 Million Ceiling for Microfinance and Housing Loans
The Securities and Exchange Commission of Pakistan (SECP) has proposed a significant revision to its financing regulations that could expand access to credit for individuals, households, and businesses. Under the proposed amendments, the maximum limit for microfinance and housing loans would increase to Rs5 million. The move is part of a broader effort to update […]
Pakistan and the IMF Face Another Tough Round of Talks
Pakistan’s latest discussions with the International Monetary Fund (IMF) have exposed fresh disagreements over energy-sector reforms, fuel subsidies and the country’s growing gas-sector debt. While the government is trying to provide some relief to consumers facing high fuel prices, the IMF is pushing Islamabad toward tighter fiscal controls and more targeted support. At the center […]
Pakistan Sees Sharp Rise in Tax Return Filings as Non-Salaried Sector Drives Growth
Pakistan’s income tax filing base has expanded significantly, with the number of returns submitted to the Federal Board of Revenue (FBR) reaching nearly 5.77 million by September 30, 2026. The latest figures represent a rise of about 45 percent compared with the 3.98 million returns filed during the same period last year. The biggest contribution […]