Prime Minister Shehbaz Sharif has decided that Pakistan will not introduce a mini-budget ahead of the upcoming federal budget, dismissing proposals that suggested new taxation measures to increase government revenues.
Senior officials said several revenue proposals were presented during economic consultations amid growing global uncertainty and rising energy prices. However, the prime minister issued clear directions that no supplementary budget would be announced before the start of the next fiscal year.
No New Taxes for Now
According to officials at the Federal Board of Revenue, recommendations to impose additional taxes or raise existing rates were rejected.
The prime minister reportedly instructed policymakers to avoid placing further financial pressure on citizens at a time when inflation concerns and international oil price volatility are already weighing heavily on households.
Government sources said the leadership wants economic decisions to prioritize stability and public relief rather than immediate revenue expansion.
Possible IMF Talks on Targets
In view of changing global conditions, authorities are considering engaging the International Monetary Fund to reassess certain economic targets under Pakistan’s ongoing program.
Officials believe regional tensions and external economic shocks could affect fiscal projections, potentially requiring adjustments to previously agreed benchmarks.
Budget Expected in June
The prime minister also turned down a proposal to present the federal budget in late May. Instead, the government is now planning to unveil the new fiscal plan in early to mid-June after broader consultations with economic stakeholders.
Focus on Stability Amid Global Risks
Economic managers are reviewing budget priorities as geopolitical tensions continue to create uncertainty in energy markets and global trade flows. Concerns remain over inflation, fiscal deficit pressures, and the country’s external account position.
Officials say the government is attempting to strike a balance between maintaining fiscal discipline and protecting consumers from additional economic strain as Pakistan prepares its next annual budget.
