Islamabad, Pakistan: Pakistan’s budget for FY27 will centre on tax collection, spending restraint and energy price adjustments as the federal government works to meet IMF programme targets.
The government has committed to an underlying primary surplus of 2.0% of GDP next year. The IMF programme also requires parliament to approve a budget framework agreed with IMF staff.
The Federal Board of Revenue will remain central to the plan. The government has set a formal FBR target of Rs7,022 billion by the end of December 2026.
The budget will seek extra revenue equal to 0.3% of GDP through permanent tax steps and stricter enforcement. The plan includes fewer exemptions, tighter audits, digital invoicing and better production monitoring.
Read: IMF Pakistan Tax Reforms Target Weak Farm Recoveries
Provinces will also need to raise more revenue. The source report said provincial budgets must raise revenue equal to 0.3% of GDP through service tax expansion and stronger enforcement of agricultural income tax.
Relief space will remain limited. The budget aims to raise Benazir Income Support Programme Kafaalat payments from Rs14,500 to Rs18,000 from January 2027.
Fuel and utility bills may stay under pressure. Pakistan has committed to fortnightly changes in fuel prices and to regular adjustments in electricity and gas tariffs.
