Pakistan encouraged to expand revenue base

5 Aug 15

The World Bank has urged Pakistan to expand its tax base and strengthen governance in order to boost public services and increase economic growth, which in turn will reduce extreme poverty. 

After concluding a three-day visit to the country, World Bank managing director and chief operating officer Sri Mulyani Indrawati updated Prime Minister Nawaz Sharif and his economic team on the bank’s assessment of reforms being implemented by the government.

She hailed the government’s progress in stabilising the economy during difficult times and supported its aim to accelerate sustainable and equitable growth.

“The priorities that we discussed include initiatives to improve people’s everyday lives, such as energy, health, education, and the social safety net—as well as expanding the tax base and strengthening governance and capacity of key institutions to support these services,” she said.

Indrawati warned that the increasing number of young people meant job creation was a priority. For Pakistan to benefit from the “youth bulge” the country needs to improve education and training, including for girls and women, she recommended.

Apart from the need for fiscal reforms, Indrawati emphasised the need for the private sector to work closer with the government to contribute to the health of the economy.

This, she said, would require improvements in the business and investment climate, privatisation, and tapping the potential of regional integration. 

  • Judith Ugwumadu
    Judith Ugwumadu

    Judith writes about public finance, public services and economics across Cooking Recipes International and Cooking Recipes. She previously undertook reporting stints at Financial Adviser, Global Security Finance and The Sunday Express.

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