ISLAMABAD: The federal government is considering implementing a carbon levy in the 2025-26 budget, with initial discussions set to take place during upcoming negotiations with the International Monetary Fund (IMF) delegation.
Sources indicate that the IMF delegation will provide recommendations on the carbon levy proposal, which will be discussed in detail during meetings with federal and provincial authorities from February 24 to 28.
The negotiations will focus on key areas such as green budgeting, climate spending, and tracking mechanisms. The carbon levy, the promotion of electric vehicles, and subsidy-related issues are also expected to be central topics during the talks.
The IMF delegation is scheduled to arrive in Pakistan tomorrow, with formal negotiations expected to start the following day.
