The government has requested the International Monetary Fund’s (IMF) approval to impose a new municipal tax aimed at financing the Rs213 billion Jinnah Medical Complex in Islamabad.

The project is facing hurdles due to IMF’s condition of raising funds within three years. The Fund has sought further details, with its review mission scheduled to remain in Islamabad from September 25 to October 8.

To address the funding challenge, the Executive Committee of the National Economic Council (ECNEC) has set up a committee and is weighing the release of Rs30 billion from the emergency budget as an alternative. The Finance Ministry has also proposed municipal taxation as a resource-generation measure.

Planned for completion by mid-2028, the Jinnah Medical Complex will house 1,000 beds and state-of-the-art facilities. An initial Rs3.5 billion has been allocated for company formation and recruitment.

Separately, Prime Minister Shehbaz Sharif has directed the Finance Ministry to discuss with the IMF a proposal for a one-month electricity bill exemption for flood-hit areas, which, once approved, would provide immediate relief to victims.