The division of the National Board of Revenue (NBR) will not affect revenue collection, Finance Adviser Dr Salehuddin Ahmed has said.
“So far, revenue collection has been 2% higher than the same period last year (2024). It is not too disappointing and I am hopeful. At least, it will not be lower than last year,” Salehuddin said while speaking to reporters on Tuesday after a meeting of the Cabinet Committee on Government Purchase at the Secretariat.
On Monday, the 53-year-old NBR was dissolved through an ordinance.
Sources say officials of the customs and tax cadre had long been protesting against an NBR split.
When asked if the ordinance ignored their opinion, the finance adviser responded: “Read the ordinance carefully. Their interests are fully protected. A policy division will be formed—it is a very small division. So, there is no reason for the NBR to worry. The NBR will remain as it is, with a few terms of reference.”
He added: “In international practice, the policy and implementation divisions are not merged. They are separate in every country. The policy division needs to be staffed with professionals who understand economics, statistics, and GDP. The NBR will be the implementing body. If the NBR handles both policy and implementation, it creates a conflict of interest. The same people who frame policies should not be responsible for enforcement.”
The finance adviser also stated that a highly realistic Annual Development Programme (ADP) will be taken up in the upcoming fiscal year's budget.
“We will not take on large megaprojects through borrowing. We will not finance the budget by borrowing from banks or printing new money,” he added.
Salehuddin said: “We will implement a reasonably realistic budget without a huge gap. The projects and ADP will be implemented with utmost realism. There will be some deficit, of course. To address that, I am negotiating. We are speaking to the International Monetary Fund (IMF) and the World Bank about project support, and those talks are progressing well.”
