Pakistani lawmakers are currently reviewing the Finance Bill 2026, with significant debate focusing on proposed increases to the sales tax and a substantial financial relief package for Pakistan International Airlines (PIA). The government aims to generate approximately Rs450 billion in additional revenue through tax adjustments, including raising the standard sales tax rate from 18% to 20%. Opposition members have voiced concerns that these tax hikes will disproportionately affect lower and middle-income citizens, potentially fueling inflation. A key point of contention is the proposed Rs120 billion bailout for PIA, a struggling national flag carrier, with questions raised about the airline’s future viability and the use of public funds. The Finance Minister defended the measures as necessary for economic stability and fulfilling commitments to the International Monetary Fund (IMF). The Standing Committee on Finance is expected to submit its report on the bill next week, paving the way for a vote in the National Assembly. The bill’s passage is crucial for Pakistan to maintain its economic reform program and secure further financial assistance.