The chairman of the Federal Board of Revenue (FBR) in Pakistan has directed the immediate disbursement of Rs126 billion (approximately $436 million) in pending tax refunds and duty rebates. This move aims to alleviate financial pressures on businesses and boost economic activity within Pakistan. The refunds include sales tax, income tax, and duty drawbacks, benefiting a wide range of exporters and importers. Officials indicate the payments will be processed electronically to ensure efficiency and transparency, addressing long-standing complaints about delays. The FBR acknowledges a significant backlog accumulated due to various factors, including budgetary constraints and procedural issues. This decision follows recent government commitments to improve the business environment and attract investment in Pakistan. The clearance of these dues is expected to unlock working capital for businesses, enabling them to fulfill orders and contribute to national revenue.

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