Islamabad (Commerce Desk) – The federal government has decided to implement major reforms in the budget system under the conditions set by the International Monetary Fund (IMF), while an IMF delegation is expected to review next year’s budget.
Officials from the Ministry of Finance stated that work on the budget proposals for fiscal year 2026-27 is ongoing, and the release of additional grants without parliamentary approval will be prohibited. To prevent frequent changes in the budget, a Tax Policy Office has been activated within the Finance Ministry.
The government has assured the IMF that government expenditures and budget coordination will improve, and the budgeting process will be made more transparent. Emergency funds will be included in the new fiscal year’s budget, while 300 billion rupees had been allocated for this purpose in the current fiscal year.
Relevant departments of the Finance Ministry have been tasked with implementing the budget reforms, and new rules will be introduced to maintain full control over the budget. The new strategy emphasizes boosting investor and international institution confidence.
Officials noted that the development budget was affected this year due to tensions in the Middle East, but efforts will be made next year to prevent mid-year cuts in development projects. The IMF delegation is expected to visit Pakistan soon to review budget preparations and reforms, and the government has assured better financial discipline and reduced delays in budget-related decisions.
