ISLAMABAD: The International Monetary Fund (IMF) has voiced its apprehensions regarding rampant petrol smuggling within the country and has sent a letter to the Ministry of Finance and the Federal Bureau of Revenue (FBR) requesting information and clarifications on this issue.
The IMF, based in Washington, expresses deep concern regarding the significant smuggling of petroleum products into the country on a monthly basis.
It has called for a comprehensive report from the finance ministry and the FBR on the actions taken to combat this illicit trade, which amounts to 143 million liters of petroleum products each month.
Additionally, the international financial institution insists on an increase in the deployment of customs, intelligence, and security officers in border regions.
The smuggling of petroleum products alone costs Pakistan Rs10 billion in customs duties annually, as stated in official documents.
It is worth noting that the caretaker government has already initiated a nationwide crackdown against smuggling activities.
On September 5, Prime Minister Anwaar-ul-Haq Kakar instructed customs officials to enhance surveillance and establish a thorough monitoring system at irregular border crossings to prevent smuggling within the country.
Following the Prime Minister’s directives, Caretaker Interior Minister Sarfaraz Ahmed Bugti, on September 10, announced the government’s decision to offer cash rewards to individuals who provide information about smuggling activities.
Terrorists benefitting from petrol smuggling
Earlier this month, a report submitted to the Prime Minister’s House (PMO) revealed that terrorists are utilizing revenue generated from smuggling petrol as a significant source of financing.
The report, which implicates politicians and government officials, disclosed that smugglers bring in 2.8 billion liters of petrol annually from Iran into Pakistan.
It further stated that the smuggling of petrol inflicts a yearly cost of Rs60 billion upon Pakistan. The report also pointed out that approximately 995 petrol pumps throughout the country participate in the illegal sale of Iranian petrol, with around 90 government officials and 29 politicians actively engaged in this smuggling operation.
However, a particularly shocking revelation from the report is the involvement of Pakistan State Oil’s (PSO) vehicles in transporting Iranian petrol.
