Pakistan Sacrifices Tax Revenue for Period Products—While Under IMF Pressure

Pakistan's 2026-27 budget abolished the 18% sales tax on sanitary pads and contraceptives, an unusual move for a nation operating under IMF fiscal consolidation. Finance Minister Muhammad Aurangzeb's decision signals that public-health access is competing directly with revenue targets. The reclassification treats menstrual products as essentials rather than luxury goods—a framing that may prove more durable than symbolic gestures if contraceptive coverage extends through implementation.