Karachi, February 16, 2026 – The Sindh government has reduced the infrastructure development cess from 1.85% to between 0.80% and 0.85%, a move aimed at lowering the cost of doing business and boosting trade in the province.
The decision has been warmly welcomed by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI). In a statement, FPCCI President Atif Ikram Sheikh said the reduction is a positive step that will lead to an annual cost saving of approximately USD 700 million for businesses. He also noted that the move resolves a 20-year-old issue and abolishes the infrastructure cess under the EF scheme, providing major relief to the business community.
FPCCI Senior Vice President Saqib Fayyaz Magoon highlighted that the business community currently has court cases worth around PKR 350 billion related to the Sindh Infrastructure Development Cess. Under the new system, traders with court cases will pay 15% installments by July 31, 2025; October 31, 2026; and July 31, 2027, easing the financial burden, while importers benefit from the one percent reduction.
Regional Chairman Sindh and FPCCI Vice President Abdul Mohaimin Khan expressed gratitude to provincial officials including Mukesh Kumar Chawla, Zia-ul-Hassan Lanjar, and Murtaza Wahab for the reform. He said the measure will speed up clearance processes at ports and reduce operational costs.
FPCCI Vice President Asif Sakhi added that traders with court cases will now pay 0.85%, while those without court cases will pay 0.80%, reflecting a significant step in industry-friendly reforms. FPCCI hopes the Sindh government will continue supporting businesses with similar measures.