ISLAMABAD - Finance Ministry has been directed by the Prime Minister Imran Khan to draft a five-year Economic plan till 2023, said the sources.
The five-year plan is envisioning an overblown tax collection target of over Rs8.2 trillion for its last year in power since it faces problems meeting rising debt servicing needs which are estimated to take up over 45% of tax revenues.
The tax-to-GDP ratio of the FBR could be targeted at 14% compared to the current one at 11.2%.
For the next fiscal year, the government has projected current account deficit at $9 billion, exports at $31 billion and imports at $58 billion.
Overseas remittances are estimated to surpass $23 billion next year, said sources.
And the total size of the federal budget is forecast to be revised upward from Rs5.4 trillion of current FY18-19 to over Rs8.5 trillion.
The forecast for the budget size is anticipated to grow by more than half, majorly due to interest payments which are estimated to soar by over 75%.