The International Monetary Fund (IMF) has rejected Pakistan’s request to immediately remove the 18 percent GST on contraceptives, officials said.
According to sources, the Federal Board of Revenue (FBR) had sought approval during a virtual meeting to exempt contraceptives from GST with immediate effect. The IMF, however, declined the request, stating that such matters can only be considered during the upcoming national budget.
The development comes after Prime Minister had instructed authorities to make population control products more affordable and widely available across the country.
Officials noted that while the IMF has deferred the exemption, discussions on GST on contraceptives are expected to resume during budget deliberations, keeping in mind public access and affordability.
