Taxation

Govt Weighs New Taxes to Fund Islamabad’s Jinnah Medical Complex

The federal government is weighing the option of introducing new taxes in Islamabad to meet the operational costs of the upcoming Jinnah Medical Complex and Research Centre, a mega healthcare facility being built in sector H-16.

Prime Minister Shehbaz Sharif recently chaired a high-level meeting where he directed the attorney general, the law minister, and the Capital Development Authority (CDA) chairman to draft legislation enabling the imposition of local taxes for the project’s sustainability.

A government official confirmed the proposal is under active consideration, adding that this step would first require new legislation. He suggested that the levies could apply to junk food, cigarettes, and other unhealthy products, both as a revenue source and as a public health measure.

The Jinnah Medical Complex, approved at a cost of Rs212 billion, will be developed in two stages. The first phase involves constructing a hospital, while the second will add a medical college and research facilities. The CDA has already allocated more than 600 kanals of land for the project.

The CDA board has also approved the bid of a consultant, a joint venture between a Turkish firm and a Pakistani company, who will soon be issued a letter of acceptance. The consultant will oversee design reviews and prepare bidding documents for construction. The first phase, valued at Rs75 billion, will be carried out under the Engineering Procurement Construction (EPC) model.

Meanwhile, bidding for the boundary wall of the complex is scheduled to open this week.