Questions raised over Rs2.2bn vehicle spending in FBR reforms

The Planning Commission has raised concerns over the procurement of 179 vehicles, including 15 fully bulletproof units, under the Federal Board of Revenue’s (FBR) Rs41 billion Revenue Raises Project, urging a review of the Rs2.237bn expenditure in light of the Finance Division’s austerity measures. Funded by a $150 million World Bank loan at an annual interest rate of 2.5 per cent over 30 years, the project is a cornerstone of the Prime Minister’s FBR transformation plan. Despite its strong economic indicators — boasting benefit-cost ratios of 42 to 70 and an internal rate of return (IRR) of 130pc to 195pc — the Planning Commission flagged lax scrutiny in its implementation, particularly regarding vehicle procurement. “An amount of Rs2,237.5m has been proposed for procurement of 179 vehicles of different makes at a unit cost of Rs12.5m for Digital Enforcement Units without provision of specifications of vehicles,” the Planning Commission pointed out and demanded its rationalisation “in light of austerity measures of Finance Division”.