ISLAMABAD: Information Minister Ataullah Tarar on Tuesday announced that Pakistan’s new policy that exempts 126 countries from visa fees and grants on-arrival visas for Gulf country residents will take effect midnight on August 14, making it easier for tourists and businessmen to visit the South Asian nation.
Pakistan, which has been facing a prolonged economic crisis that has forced it to seek financial assistance from friendly nations and global lenders like the International Monetary Fund (IMF), has increasingly sought to introduce policies for the ease of doing business for foreign investors.
The South Asian country last month announced it had made changes to its visa policy by increasing the number of countries exempt from visa fees to 126. The decision came in the wake of Pakistan’s efforts to forge deeper economic and trade ties with regional allies to stabilize a fragile economy.
“Pakistan’s visa policy will be changing tonight at midnight. The visa fees of 126 countries have been abolished and the visa process has become easier,” Tarar said at a press conference on Tuesday. “Gulf country residents can avail a visa on arrival.”
The Gulf countries include Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
Explaining the process in detail, the information minister said people visiting from any of the 126 countries will merely have to fill out a one-page form consisting of 30 questions within a ten-minute process.
Visa would be issued directly on the phone through which the form was filled and would be valid for three months apart from also being renewable, he added.
Tarar said the new visa policy also included religious tourism due to which Sikh pilgrims could easily visit the South Asian country for their religious festivals.
In a cabinet meeting in last month, Prime Minister Shehbaz Sharif had pointed out that the new visa policy would lead to a loss of a “few million dollars,” but it would be instrumental in promoting investment in the country.
Sharif had noted that the policy would lead to a significant increase in large-scale economic activities in Pakistan and further boost the country’s foreign exchange reserves.
Pakistan announces visa policy exempting fees for 126 countries, offering on-arrival permits
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Pakistan announces visa policy exempting fees for 126 countries, offering on-arrival permits
- Pakistan last month exempted 126 countries from visa fees, announced on-arrival visa service for Gulf residents
- Minister says a three-month visa will be directly issued by phone after filling out form comprising 30 questions
Anti-fuel smuggling drive boosts Pakistan revenues 82%, PM office says
- Crackdown targets illegal petroleum trade using GPS tracking and pump registration
- July–November gains cited as government intensifies tax, customs enforcement
ISLAMABAD: The Pakistani prime minister’s office said on Friday revenues from petroleum products rose 82% between July and November 2025 after a nationwide crackdown on fuel smuggling, as the government steps up enforcement to curb tax evasion and losses that have long strained public finances.
The increase was cited during a weekly performance review of the Federal Board of Revenue (FBR), where Prime Minister Shehbaz Sharif directed authorities to accelerate action against smuggling and tax evasion, according to a statement issued by the PM’s Office.
Fuel smuggling has been a persistent problem in Pakistan, where subsidised or untaxed petroleum products are often trafficked across borders or sold through unregistered pumps, depriving the state of revenue and distorting domestic energy markets. Successive governments have blamed the practice for billions of rupees in annual losses, while international lenders have repeatedly urged tighter enforcement as part of broader fiscal reforms.
“Every year the nation loses billions due to smuggling,” Sharif was quoted as saying in a statement, praising customs authorities for successful operations and noting that revenues from petroleum products increased by 82% from July to November 2025 compared with the same period last year.
The PM said stricter enforcement had brought several goods back into the formal economy, adding that there would be “no leniency” toward those involved in tax evasion or illegal trade.
Officials briefed the prime minister that Pakistan Customs has rolled out a nationwide enforcement framework, including GPS tracking of petroleum product transportation, registration of fuel stations through a digital monitoring system, and legal action against illegal machinery under updated petroleum laws.
The government has also instructed provincial administrations to cooperate fully with federal authorities in shutting down illegal petrol pumps, the statement said.
Sharif said enforcement efforts would continue until smuggling networks were dismantled and tax compliance improved, as the government seeks to strengthen revenues amid ongoing economic reforms.
Pakistan has struggled for years with weak tax collection and a narrow revenue base, forcing repeated bailouts from the International Monetary Fund. Smuggling of fuel, cigarettes, electronics and consumer goods has been identified by policymakers as a major obstacle to improving revenues and stabilising the economy.
Independent research shows that Pakistan loses an estimated Rs750 billion (about $2.7 billion) annually in tax revenue due to illicit trade and smuggling across sectors such as petroleum, tobacco and pharmaceuticals. Broader analyzes suggest total tax revenue losses linked to the informal economy and smuggling may reach as high as Rs3.4 trillion (around $12.1 billion) a year, roughly a quarter of the government’s annual tax targets.
Smuggled petroleum products alone are thought to cost the state about Rs270 billion (around $960 million) a year in lost revenue, underscoring why authorities have focused recent enforcement efforts on fuel tracking and pump registration.
