Karachi: Sources say that the federal government has sought formal permission from the IMF on the proposal to impose a new municipal tax in Islamabad. It has been reported that this tax has been proposed for the construction of a medical complex in the federal capital at a cost of Rs213 billion. The project has been targeted to be completed in three years, but the government is facing serious difficulties in providing financial resources.
According to reports, the Ministry of Finance is considering making this project part of the Public Sector Development Program (PSDP), while the government is preparing to immediately release Rs30 billion from the emergency fund. Initially, Rs3.5 billion has been allocated for the project, which will be spent on setting up the Jinnah Medical Complex Company and recruiting staff.
Sources further said that the government is also considering including the proceeds of Panda Bonds worth $76 million to finance the project. On the other hand, the IMF has sought more details on the proposal submitted by Pakistan so that formal approval can be given only after that.