The government has repeatedly said that it aims at increasing the ratio of tax to gross domestic product (GDP) to 13 per cent by 2027, as the current rate of less than 10pc is unsustainable. While the aspirations are impressive, I wonder if anybody in the government, especially the finance minister, has taken a look at the recent expenditure numbers. Even if we were to magically increase the tax-to-GDP ratio to 30pc by tomorrow, our expenses remain uncovered. In private-sector parlance, we have a cost problem, not a revenue issue. And I see nothing in the recent budget that aims at decreasing costs to a substantial extent.
HASAN RAZA
KARACHI
