Pakistan posted a 27% jump in federal revenue collection last fiscal year, supported by structural reforms, digital monitoring, and stricter action against tax evasion, Finance Minister Muhammad Aurangzeb told the National Assembly on Monday.

Responding to a Calling Attention Notice from Syed Hafeezuddin and Muhammad Jawed Hanif Khan, the minister said the Federal Board of Revenue collected Rs11.7 trillion, up from Rs9.2 trillion a year earlier, an unprecedented gain of nearly Rs5 trillion.

He said withholding tax rose 28%, sales tax 26%, federal excise duty 33%, and customs duty 16%, calling the overall performance “strong and structurally driven, not one-off.”

Aurangzeb said Pakistan’s tax-to-GDP ratio had improved from 8.5% to 10.3%, and expressed confidence it would reach 11% this year, aided by weekly tech-led monitoring supervised by the prime minister.

He said enforcement now focused on widening and deepening the tax base.

Nearly Rs200 billion had been collected from retailers and wholesalers this year, with around 400,000 non-null returns filed, “a real compliance gain.”

Digital production monitoring in the sugar and cement sectors alone generated Rs7 billion and Rs10 billion in additional revenue between July and November, he added.

“These reforms will continue. Technology is the great equalizer,” Aurangzeb said, urging lawmakers to share intelligence on suspected evasion so enforcement could tighten further.

The minister also addressed an earlier point raised by Minister for National Food Security Rana Tanveer Hussain regarding agricultural finance.

He said the government had launched a collateral-free loan programme for farmers holding less than five acres and for small-scale livestock keepers. The State Bank would support the scheme through a first-loss guarantee and subsidy, and the programme was already operational.

Aurangzeb also reiterated Pakistan’s position on the IMF Governance Diagnostic Report, which he said was based on input from more than 100 meetings across 30 departments.

He noted that the IMF had acknowledged Pakistan’s progress on fiscal consolidation, primary surplus, inflation moderation, reserves strengthening, FATF exit, digitalisation reforms and dispute resolution mechanisms.

Aurangzeb emphasised that the report’s 15 recommendations were technical in nature and not a judgment on any government or administration.

Pakistan would submit its action plan by December 31, he said, adding that it would be made public and shared with the Standing Committee on Finance.