Heavy tobacco taxes urged ahead of budget 2026-27
Key takeaways
- The policy dialogue, titled: “Strengthening Tobacco Taxation for Public Health and Fiscal Gains: Preparing for the 2026-27 Budget, was organized by Sustainable Development Policy Institute (SDPI) here on Thursday.
- He noted that Pakistan, as a lower-middle-income country, lags behind optimal tobacco taxation levels.
- Dr Sajid Amin Javed, SDPI Deputy Executive Director, described tobacco taxation a “win-win” policy with benefits for revenue generation, public health, and economic stability.
Why this matters: local context for readers following news across Pakistan and the region.
Add ARY News on Google AAResize Speakers at a policy seminar called for stronger and more consistent tobacco taxation, elimination of two-tier tax structure, and targeted measures to curb youth smoking, as part of recommendations for the Federal Budget 2026–27.
The policy dialogue, titled: “Strengthening Tobacco Taxation for Public Health and Fiscal Gains: Preparing for the 2026-27 Budget, was organized by Sustainable Development Policy Institute (SDPI) here on Thursday.
Opening the discussion, Syed Ali Wasif Naqvi, Senior Research Associate at SDPI, emphasized that strengthening tobacco taxation is among the most effective evidence-based tools to improve public health while boosting domestic revenues. He highlighted analytical findings, which show that even a one-percentage-point reduction in smoking prevalence could recover around Rs294 billion in economic losses and generate over Rs103 billion in additional tax revenue.