Pakistan’s Federal Board of Revenue (FBR) has launched an AI-driven Customs Clearance and Risk Management System (RMS), signalling a move towards automation in customs processes for imports and exports. This system aims to enhance efficiency, minimise manual involvement, and bolster tax revenue collection.

 

 

The initiative was showcased during a review meeting led by Prime Minister Shehbaz Sharif. According to officials, the RMS utilises artificial intelligence and automated bots to assess the cost and classification of goods entering and exiting the nation.

 

 

Preliminary outcomes from the system’s testing phase indicated substantial improvements. The number of Goods Declarations marked for taxation surged by 83 percent. Clearances through the green channel, which facilitates the rapid movement of low-risk goods, increased by 2.5 times. Overall performance saw an enhancement of over 92 percent, as reported by officials.

 

 

The system is being framed as a critical advancement toward automation and data-driven evaluations in customs operations. Officials mentioned that the RMS could alleviate pressure on customs personnel and expedite the clearance process, thereby simplifying operations for businesses.

 

 

The meeting also addressed the application of video analytics within the manufacturing sector. Authorities are considering its potential for monitoring production rates and automating tax collection. Initial tests indicated a remarkable 98 percent efficiency rate for this technology.

 

 

Prime Minister Shehbaz Sharif described these digital changes as a fundamental aspect of the government’s economic strategy. He remarked that the implementation of AI would contribute to a more transparent tax system and diminish opportunities for undue influence. He further instructed officials to maintain the system's integration across various departments.

 

 

Finance Minister Muhammad Aurangzeb, Information Minister Attaullah Tarar, the FBR chairman, and high-ranking government officials were present at the meeting.

 

 

In a different briefing, the FBR and the Intelligence Bureau released an update on their efforts against tax evasion and hoarding. The report highlighted that collaborative operations had resulted in the recovery of Rs178 billion.

 

 

Of this total, Rs69 billion was sourced from company mergers and unpaid dues from telecom companies. The Intelligence Bureau also conducted 515 raids across various sectors including sugar, beverages, edible oil, animal feed, tobacco, and cement. These actions yielded an additional Rs10.5 billion in tax revenues.