Connect with us

Business

Increased cigarette tax “proposed” in the budget for 2025

Published

7 months ago

on

The National Institute of Health (NIH) has begun accepting recommendations from stakeholders regarding the proposed rise in cigarette prices, as per the available information.

According to sources, NGOs have proposed increasing the Federal Excise Duty (FED) on tobacco by 26.6%.

Sources indicate that the Tobacco Control Cell has concluded its suggestions for increasing the cost of cigarettes in the 2025 budget.

Sources indicate that the Ministry of Health will conclude these proposals and transmit them to the Ministry of Finance this week.

Sources familiar with the topic have indicated that there is a potential for a 15% to 19% rise in the Federal Excise Duty (FED) on tobacco in the 2025 budget.

Additional tax on tobacco goods suggested

Presently, the Pakistani government is imposing a Federal Excise Duty (FED) of Rs120 on each pack of cigarettes, whilst cigarettes produced by the local industry are being sold at a price of 90 rupees per pack.

Last year, multinational cigarette makers contributed Rs173 billion in taxes, while local cigarette manufacturers avoided paying Rs240 billion in taxes.

Pakistan is confronted with a substantial issue of extensive tobacco consumption, as more than 31.9 million individuals aged 15 years and over are currently using tobacco, accounting for around 19.7% of the adult population.

Each year, smoking-related illnesses cause the death of more than 160,000 people, which accounts for a significant 1.6% of the country’s Gross Domestic Product (GDP). Nevertheless, for the fiscal year 2022-23, the revenue generated from cigarette taxes accounted for only 16% of these expenses, indicating a decrease from 19.5% in 2019.

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

In interbank trade, the Pakistani rupee beats the US dollar.

Published

6 days ago

on

By

In the international exchange market, the US dollar has continued to weaken in relation to the Pakistani rupee.

The dollar fell to Rs278.10 from Rs278.17 at the beginning of interbank trading, according to currency dealers, a seven paisa loss.

In the meantime, there was a lot of turbulence in the stock market, but it recovered and moved into the positive zone. The KSE-100 index recovered momentum and reached 116,000 points after soaring 1,300 points.

Both currency and stock market swings, according to analysts, are a reflection of ongoing market adjustments and economic uncertainty.

Continue Reading

Business

Phase II of CPEC: China-Pakistan Partnership Enters a New Era

Published

1 week ago

on

By

The cornerstone of economic cooperation between the two brothers and all-weather friends is still the China-Pakistan Economic Corridor, the initiative’s flagship project.

In contrast to reports of a slowdown, recent events indicate a renewed vigour and strategic emphasis on pushing the second phase of CPEC, known as CPEC Phase-2, according to the Ministry of Planning, Development, and Special Initiatives.

According to the statement, this crucial stage seeks to reshape the foundation of bilateral ties via increased cooperation, cutting-edge technology transfer, and revolutionary socioeconomic initiatives.

Planning Minister Ahsan Iqbal is leading Pakistan’s participation in a number of high-profile gatherings in China, such as the 3rd Forum on China-Indian Ocean Region Development Cooperation in Kunming and the High-Level Seminar on CPEC-2 in Beijing.

His involvement demonstrates Pakistan’s commitment to reviving CPEC, resolving outstanding concerns, and developing a strong phase-2 roadmap that considers both countries’ long-term prosperity.

At the core of these interactions is China’s steadfast determination to turn CPEC into a strategic alliance that promotes development, progress, and connectivity.

Instead of being marginalised, CPEC is developing into a multifaceted framework with five main thematic corridors: the Opening-Up/Regional Connectivity Corridor, the Innovation Corridor, the Green Corridor, the Growth Corridor, and the Livelihood-Enhancing Corridor.

With the help of projects like these, the two countries will fortify their partnership, and CPEC phase-2 will become a model of global economic integration and collaboration that benefits not just China and Pakistan but the entire region.

Continue Reading

Business

The inflation rate in Pakistan dropped to its lowest level.

Published

1 week ago

on

By

On December 2, core inflation as determined by the Consumer Price Index (CPI) significantly slowed, falling to 4.9% in November 2024 from 7.2 percent in October 2024.

The CPI-based inflation rate for the same month last year (November 2023) was 29.2%, according to PBS data.

Compared to a 1.2% gain in the prior month, it increased by 0.5% month over month in November 2024.

Continue Reading

Trending