The International Monetary Fund has presented Pakistan with a set of stringent proposals as conditions – including taxing pensioners – for a new bailout package, ranging from $6 to $8 billion, Geo News reported.

The IMF is pushing for additional tax measures to boost government revenue. The government may be required to further increase electricity and gas prices, and privatise all state-owned enterprises operating at a loss.

An IMF delegation is expected to arrive on May 15 to finalize the details of the package, which could have significant implications for the Pakistani economy and its citizens.

The news outlet while quoting sources said that the Federal Board of Revenue was ready to bring reforms to the pension system, including the possibility of taxing pensioners with incomes below Rs100,000 or implementing a 10% tax on all pensions.

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The government has begun preparations for the IMF mission’s visit, including setting budget targets and seeking cabinet approval for the Budget Strategy Paper.

The Ministry of Finance has initiated the budget-making process, with key targets such as debt servicing, defence spending, and tax collection to be shared with the IMF.