FBR revenue jumps 40% as Pakistan sustains fiscal discipline

Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb told an Asian Development Bank forum in Islamabad that FBR collections had grown 40% in two years, reaching Rs13 trillion at the close of last year. According to Mettis Global, the government aims to keep a run of primary fiscal surpluses, now spanning three years, intact by trimming civil running costs and easing debt servicing. Over the same stretch, the tax-to-GDP ratio climbed from 8.8% to 10.3%.

The FBR's transformation rests on people, process and technology, the keynote said, with integrity and capacity building running alongside. On integrity, neither Senator Aurangzeb nor the prime minister has exerted, or will exert, undue political influence over appointments or postings. Third-party auditors are also helping to lift how the department operates and how its officers are trained.

Technology is called the game-changer, and digital production monitoring has reached full execution, directly boosting sales tax income. By registrations, electronic invoicing already reaches roughly 75% to 80% of the country's sales turnover, while PRAL, the IT arm, has received stronger governance and resources. Customs has adopted faceless assessment, and average revenue per declaration has risen from Rs7.6m to Rs8.5 million. The keynote contrasted this push with earlier boom and bust phases, arguing that the prime minister and cabinet now fully own the reform agenda.