Pakistan’s federal government collected more than Rs13 trillion in taxes and levies during fiscal year 2025, accounting for approximately 11.3 percent of the country’s Gross Domestic Product, official data showed. Authorities indicated that tax collection trends suggest the federal government is on track to achieve its long-term target of raising revenue to 15 percent of […]
Pakistan tax revenue
IMF flags Pakistan’s tax growth slowdown
The International Monetary Fund has warned that Pakistan’s federal tax revenue is likely to remain largely stagnant over the next five years, despite recent improvements in the overall tax-to-GDP ratio. Although fiscal reforms raised collections in FY25, the Fund believes future revenue momentum will increasingly depend on stronger provincial tax performance rather than federal expansion. […]

