Pakistan has approved a significant hike in gas tariffs and sales tax on vehicles.

In a recent decision, the Interim Government of Pakistan has given the green signal to increase gas prices, meeting the demands of the International Monetary Fund (IMF). This change will affect Many  people around the country.

For those who are protected customers, the price will increase by Rs 100 per MMBtu, while non-protected customers will face a huge increase of Rs 300 per mmbtu. Commercial gas consumers will see a substantial price hike of Rs 900 per mmbtu, and even the CNG sector, which includes vehicles running on compressed natural gas, by Rs 170 per mmbtu. MMBTU will increase significantly. Fertilizer factories will also see a slight increase in gas prices.

Additionally, the Economic Coordination Committee (ECC) of the Cabinet has approved an increase in sales tax on vehicles manufactured and assembled within Pakistan. The Federal Board of Revenue (FBR) has proposed a 25% sales tax on locally manufactured and assembled vehicles with a value of Rs.40 lakh or 1400cc engines. This decision is expected to continue in the next budget as well.

Read More: Germany Commits EUR 45 Million Support to Foster Bilateral Cooperation with Pakistan


While these changes are very important . Although these adjustments aim to tackle economic issues and fulfill international obligations, it is important for the public to understand how these changes will affect their everyday lives. It is important for the public to be aware of the impact on their daily lives. The increase in gas prices will affect houselife, businesses and even those who are using CNG vehicles.


Read More: Government Implements Substantial Increase in Petrol and Diesel Prices.

An increase in sales tax on vehicles may lead to an increase in the prices of cars with 1400cc engines, which will affect the affordability of such vehicles for the general public. As these changes will affect, people need to be aware of how they may be affected and plan things to tackle the situation.