Pakistan’s ECC Imposes Tax on Electricity Users to Recover Debt

The gov.’s Economic Coordination Committee, or ECC, approves the 1 rupee/unit tax on most consumers for fiscal starting July, finance ministry says in statement.

• Step to recover 76 billion rupees previously given in subsidies
• Exempts consumers using up to 300 units/month, private agriculture users; consumers of Karachi’s K-Electric to pay in March-June
• ECC approves the revised circular debt management plan without giving details
• Raises price of Paracetamol to 2.67 rupees/500 mg and Paracetamol Extra to 3.32/500 mg; cuts prices of 20 other drugs
• NOTE: Pakistan reforming the power sector to meet a key condition to revive IMF loan

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