Parliamentary Secretary for Finance Saad Waseem Sheikh has stated that the government has no plans to introduce additional taxes to cover the Rs386 billion shortfall in tax collection. He assured that efforts are underway to meet the revenue target for the current fiscal year.
During the National Assembly’s Question Hour, Mehreen Razak Bhutto raised concerns over how the Federal Board of Revenue (FBR) plans to achieve its tax collection target given the revenue gap. Responding to the query, Sheikh acknowledged the shortfall but ruled out any immediate tax hikes to bridge the gap.
In a written response to Dr. Nafisa Shah’s question regarding debt repayment plans and the percentage of debt being rolled over, the Ministry of Finance stated that the government is focused on maintaining public debt at sustainable levels.
The ministry noted that economic stabilisation measures, including a primary surplus, a stable exchange rate, and a significant reduction in interest rates by the State Bank of Pakistan due to declining inflation, are expected to help reduce public debt in the coming years.
The government is also managing external and domestic debt obligations by utilising available cash reserves for principal and interest repayments, according to the finance ministry.
During the session, the Ministry of Finance also provided details of FBR’s tax collection over the past five years. The data showed that in 2019-20, FBR collected Rs3,997 billion, surpassing its target of Rs3,908 billion. In 2020-21, revenue stood at Rs4,745 billion against a target of Rs4,691 billion, while in 2021-22, collection reached Rs6,148 billion, exceeding the Rs6,050 billion target.
For 2022-23, FBR collected Rs7,164 billion, slightly below the target of Rs7,200 billion. In 2023-24, revenue stood at Rs9,252 billion, narrowly missing the Rs9,299 billion target. The figures indicate steady growth in tax collection despite economic challenges.
