Finance Minister Miftah Ismail has announced an end on the ban on luxury items, saying that the government will instead put taxes on such items in order to discourage imports.
On the release of the funds under the IMF Extended Fund Facility, Miftah said that the Pakistan delegation would meet the representatives of the international lender on August 29. All conditions for the release of funds have been met, he added
He thanked China, Saudi Arabia, UAE and Qatar China for helping Pakistan during times of economic crisis.
Key points from Miftah Ismail’s press conference
- IMF meeting on August 29
- Ban on import of luxury items to end. IMF also wanted end to ban on import of luxury goods.
- We import wheat, cotton, and other food items. Imports are under control.
- Ban on imports lifted to comply with international requirements. IMF wanted ban to end. PM Shehbaz Sharif did not want the ban on luxury items to be lifted
- Extremely high taxes to be imposed on import of luxury items
- Rs 27 billion collected through rental tax collection
- Rs36 billion in further taxes to be imposed tobacco and cigarettes
- Non-funded subsidy will not be provided on electricity
- China to re-roll $2 billion. Saudi Arabia, UAE and Qatar also helped Pakistan during economic crisis.
- Traders to be brought in the tax net through ordinances
- Imports have increased as compared to last year
