ADB asks Pakistan to provide targeted subsidies, enhance tax-to-GDP ratio

Islamabad, May 07, 2023 (PPI-OT): The Asian Development Bank says the bank is working with Pakistan and other development partners to help Pakistan introduce important structural reforms in various areas. In an interview, Director General, Central and West Asia Department Yevgeniy Zhukov and Country Director Pakistan Resident Mission, Yong Ye said the government should provide targeted subsidies to mitigate inflationary pressure on people. They suggested to enhance tax to GDP ratio to come out of existing uncertain economic situation and steer economy towards a sustainable growth trajectory.

Zhukov was of the view that Pakistan should improve revenue collection. He said Pakistan has the potential to perform well economically; however, there is a need to improve the public sector governance and carry out the reform process seriously.

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