IMF 'agrees' to withdraw proposed tax hike on solar energy products

Islamabad: The International Monetary Fund (IMF) has reportedly agreed to withdraw the proposed increase in taxes on solar panel products.

According to sources, the development follows efforts by Prime Minister Shehbaz Sharif, through which the IMF has agreed not to impose additional taxes on solar panels and stationery products.

The move is being viewed as a significant achievement by the government in its efforts to safeguard public interests during the preparation of the Federal Budget for Fiscal Year 2026–27.

The decision is expected to provide relief to consumers and support the continued adoption of renewable energy solutions across the country.

Meanwhile, discussions between the Government of Pakistan and the IMF are continuing regarding proposed tax incentives and concessions for the real estate sector.

While no final agreement has yet been announced, negotiations remain ongoing as both sides work toward finalizing budget-related fiscal measures ahead of the upcoming financial year.