ISLAMABAD: The government met with a visiting team from the International Monetary Fund (IMF) on Monday. Officials told the IMF that the Gulf War and problems in the Strait of Hormuz caused a loss of revenue in the first quarter and slowed down economic activity.
The government also said that about 10,000 federal employees will have to digitally declare their assets (both movable and immovable) by October 30, 2026. This is part of a mandatory asset declaration system.
Officials said the first round of talks focused on revenue, the economic impact of the Gulf conflict, and progress on reforms. These reforms include digitizing the asset declaration scheme under Section 15-A of the Civil Servants Act, 1973.
On revenue, the Federal Board of Revenue (FBR) told the IMF that the Gulf conflict hurt tax collection. But the FBR is still confident it will meet the first-quarter target of Rs3.053 trillion by September 30, 2026.
The FBR expects to collect about Rs1.330 trillion in September, against a target of Rs1.343 trillion. Officials said this should be enough to meet the overall July–September target of Rs3.053 trillion.
The FBR explained that the conflict in the Strait of Hormuz raised fuel prices and slowed economic activity in Pakistan. This hurt tax collection, especially sales tax and withholding tax at the import stage.
The FBR estimates that the conflict has caused a revenue loss of about Rs144 billion in the first quarter of this fiscal year. Even so, tax authorities are still confident of meeting the quarterly target agreed with the IMF.
Separately, the Establishment Division and tax authorities briefed the IMF on the digitization of the asset declaration scheme. The government said about 10,000 federal civil servants will have to declare their assets under this mandatory scheme.
Officials made clear that the declaration is not optional. Covered employees must submit their asset details through the digital system. The target for completing this process is October 30, 2026. The digitized declarations are expected to be published by December 2026 or January 2027.
This asset declaration step is part of the government’s effort to improve transparency and accountability in the public sector and to better monitor the assets of federal civil servants.
Talks with the IMF mission are still going on. The IMF is reviewing Pakistan’s fiscal and revenue performance, the implementation of reforms, and how recent external events have affected the economy. The mission is also expected to check progress on agreed program benchmarks and revenue measures.
