Pakistan witnesses 25% decline in smoking addicts after tax hike

Pakistan has witnessed a 20 to 25 percent decline in cigarette consumption as a result of a massive increase in taxes on tobacco products, a report published by the International Monetary Fund (IMF) said.

In the Technical Assistance Report, the global lender recommended the imposition of uniform tax rates on both local and foreign cigarette manufacturers.

The proposal aims to address the health risks associated with smoking and ensure fair taxation practices. 

However, the IMF also suggested applying the same taxation criteria to e-cigarettes and other tobacco items. 

The stakeholders in Islamabad endorsed the US-based lender's recommendation, which is being aligned with the World Health Organization's (WHO) guidelines. 

The health experts also supported the IMF's stance, emphasising the need to restrict tobacco taxation in Pakistan due to the declining demand for cigarettes. 

Malik Imran Ahmed, the country head of Tobacco-Free Kids, said that the imposition of taxes would not only decrease consumption but also help the government in generating revenue.