ISLAMABAD: The federal government is considering imposing new taxes in Islamabad to contribute to the operational costs of Jinnah Medical Complex and Research Centre, which will be built at H-16.

The Capital Development Authority (CDA) is executing the mega project of the Ministry of Health of the federal government.

Sources said that recently Prime Minister Shehbaz Sharif while chairing a meeting directed the attorney general of Pakistan, the law minister and the chairman of the CDA to finalise the draft legislation to impose the local taxes.

“Yes, a proposal for imposing taxes to meet operational cost of JMC and Research Centre is under consideration,” said an official source. He said before imposing the special taxes, legislation was required.

“I am not supposed to finalise the new taxes, but I guess these can be imposed on junk food and other unhealthy items such as cigarettes and smoking and on any unhealthy activity,” said the official source.

Official says taxes can be imposed on junk food and other unhealthy items

The PC-I worth Rs212 billion has already been approved for the medical complex and research centre. The project will be executed in two phases. In the first phase, a hospital will be built and in the second a medical college and other related facilities will be developed.

The CDA has already earmarked over 600 kanals in H-16 for the complex.

The CDA board recently also approved the bid of a consultant — a joint venture of Turkish and Pakistani company. Sources said that the CDA will soon issue a letter of acceptance to the JV for starting work on the first phase of the project worth Rs75 billion.

The consultant firm will review the design of the project and finalise the bidding documents for the construction work.

The project will be executed under the Engineering Procurement Construction (EPC) mode.

Meanwhile, the bidding for construction of the boundary wall of the JMC and research centre will be opened this week.

The groundbreaking ceremony for medical complex was performed by the prime minister on July 21, 2024.

Addressing the groundbreaking ceremony, the prime minister had said that the complex was going to be the region’s one of the best medical

centres where deserving people would get 100 per cent free medical treatment.

“This is the gift of the coalition government not only for the residents of Rawalpindi and Islamabad, but also for people from Khyber Pakhtunkhwa, Azad Jammu and Kashmir and Gilgit-Baltistan,” Mr Sharif said, adding that once completed the medical complex would offer the world’s best healthcare facilities with various sections for diseases related to heart, kidneys, lungs, cancer and others.

Published in Dawn, September 8th, 2025