KARACHI – In a significant move to support low-income workers and provide public relief, the Sindh government has officially reduced the sales tax rate for motorcycle ride services from 5% to 2%.
The decision was finalized during a provincial cabinet meeting chaired by Chief Minister Syed Murad Ali Shah. The Chief Minister emphasized that the government is committed to accelerating development while providing direct relief to citizens affected by ongoing inflation and economic pressures.
Comprehensive Rs30 Billion Development Agenda
The cabinet approved a massive Rs30 billion agenda covering infrastructure, healthcare, education, and digital governance.
“We are focusing simultaneously on infrastructure improvement and social protection to ensure the benefits of governance reach the grassroots level,” stated CM Murad Ali Shah.
Key Highlights of the Cabinet Decisions
1. Subsidies and Direct Public Relief
• Motorcycle Fuel Subsidy: The cabinet extended the fuel subsidy program until May 31, 2026, with an additional allocation of Rs2 billion. To date, over 548,000 applicants have already received Rs2,000 each.
• Fishermen Support: A Rs515 million fuel subsidy package was approved for fishermen in Karachi, Thatta, Sujawal, and Badin to offset rising diesel costs that have slashed fish production by 20%.
2. Karachi and Regional Infrastructure
• Karachi Roads: Rs6.5 billion was granted for the immediate restoration of roads across 24 town municipal corporations in Karachi.
• Indus River Bridge: Rs147.2 million was allocated for the design of a 1.12km bridge between Hyderabad and Kotri.
• Water and Drainage: Major funding was approved for water supply in Qasimabad (Rs800 million), drainage in Larkana (Rs4 billion), and the S-III sewage project in Karachi (Rs2 billion).
3. Healthcare and Education Initiatives
• Sukkur Trauma Centre: Rs635.48 million was allocated for a 50-bed trauma and emergency center at Ghulam Muhammad Medical College Hospital, expected to be operational by June 2026.
• Early Childhood Education: Rs90 million was approved for a new building at St. Patrick’s High School, Karachi.
• Social Welfare: Rs80 million was earmarked for an orphanage in Umerkot.
4. Governance and Technology
• Digital Courts: Rs48.9 million was approved for the digitization of cases in district courts to facilitate electronically certified copies.
• Sindh Job Portal: Rs86.5 million was allocated for operations, alongside funding for ‘Indus AI Week 2026’.
Strategic Global Partnerships
The cabinet endorsed the World Bank-backed ‘Pak Flow’ project aimed at reducing methane emissions at the Jam Chakro landfill. Furthermore, a China Desk will be established within the Investment Department to facilitate agreements following President Asif Ali Zardari’s recent visit to China.
The meeting concluded with key administrative appointments, including Faisal Malik as Member (Finance and Policy) of the Sindh Electric Power Regulatory Authority (SEPRA).