The Government decides to lift the Ban on import of non-essential and luxury goods on the demand of International Monetary Fund (IMF), however said that the Regulatory Duties (RDs) would be enhanced manifold to discourage import of such products.
The minister said Regulatory Duties would be enhanced three times or to the maximum possible level and can go even upto 400 to 600 percent or more.
Pakistan is still short of dollars to spend on import of luxury items adding that the existing resources would be utilized to provide the people of the country with flour, wheat, cotton, edible oil instead of I-phones or luxury vehicle.
Pakistan had long negotiations with the fund and the IMF board is scheduled to meet on August 29 wherein programme with Pakistan would be approved as the country had already fulfilled all conditions and had taken all prior actions demanded by the fund.
Officials further added that Rs36 billion would be collected from Tobacco and cigarettes by imposing taxes. The tax on tier-2 cigarettes would be increased from Rs1850 to Rs2050 per 1000 cigarettes and tier-1 form Rs.5900 to Rs.6500 per 1000 cigarettes. In addition to this the green leaf Cess has been increased from Rs.10 per kg to Rs.380.