Pakistan Aims to Raise Tax-to-GDP Ratio

Finance Minister Muhammad Aurangzeb announced a goal to increase Pakistan's tax-to-GDP ratio from the current 9-10% to 13% within three years, emphasizing that taxation reforms are vital for economic stability. During a press conference in Islamabad, he stated that the digitalization of the Federal Board of Revenue (FBR) is underway to enhance transparency and efficiency while reducing human intervention. Minister of State for Finance Ali Pervez Malik highlighted that inflation has dropped significantly from previous highs, positively impacting the common citizen. The government is also focusing on ensuring that the tax burden is fairly distributed across all segments of society, with ongoing structural reforms aimed at minimizing tax leakages. Aurangzeb assured that while improving tax compliance, efforts will be made to avoid placing undue burdens on ordinary taxpayers. This initiative aligns with the government's broader strategy to stabilize the economy and improve fiscal governance.