The cost of medicines in the country is expected to increase due to the introduction of an 18% sales tax and the decision by the federal government to deregulate the prices of non-essential medicines.
Following this decision, pharmaceutical companies will have the freedom to set and sell medicine prices according to their will.
An official of the Ministry of National Health Services, Regulations and Coordination (NHS, R&C) told The News that government has proposed an 18% sales tax on medicines in the next budget on the recommendation of the International Monetary Fund (IMF).
The official further added that people won’t able to afford medicines if the 18% sales tax is imposed along with the decision to deregulated the prices of thousands of medicines.
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The News further reported, citing officials within the finance circles, that the proposal to impose an 18% sales tax is among a series of measures recommended by the IMF. It also includes bringing unprocessed food, petroleum products and stationery under the standard GST rate.
Moreover, a renowned public health expert told The News that if the government imposes an 18% sales tax after deregulating the prices, it would make the people’s lives miserable.
