ISLAMABAD – Prime Minister Shehbaz Sharif has rejected proposals to introduce a mini-budget ahead of the upcoming federal budget, directing the Federal Board of Revenue (FBR) to avoid imposing additional taxes on the public.
According to reports, the premier made it clear that rising petroleum prices have already burdened citizens, and any further taxation or mini-budget measures should not be considered. Instead, he instructed authorities to explore alternative ways to increase revenue.
FBR officials had presented various tax proposals during a key meeting held in the backdrop of ongoing tensions in the Middle East, but the prime minister turned them down.
Reports added that Shehbaz Sharif has ordered detailed consultations on budget proposals in light of the evolving regional situation. There is also a proposal under consideration to convince the International Monetary Fund (IMF) to revise targets due to the current geopolitical conditions.
Officials fear that key economic targets, including inflation and the fiscal deficit, may be affected in the upcoming budget for fiscal year 2026-27. The current account deficit targets under the three-year strategy may also face setbacks.
Work on the next fiscal budget has been accelerated, with key planning meetings expected later this month. The government is likely to present the budget in parliament in early June.
