Reforming opinion for RGST

Lawmakers have been finally put to task. Populist stances, opposition for the sake of it and political opportunism can be witnessed in the ongoing debate on the reformed GST bill in the parliament.
The just in time tabling of the draft - ahead of the Pakistan Development Forum - sheds light on just how much the government needs to prove its credibility to foreign donors.
Much has been written in these columns about the impact on the economy of the reforms in indirect taxation. While the reforms are a welcome first step, they must closely be followed by implementation of the same.
First steps in the legislative process are underway. The Senates standing committee for finance was the first to review the bill. Senior officials from the tax authority were grilled by lawmakers, who were surprised to note that FBR had been unable to conduct sector analyses with the impact of the new tax rules.
Surprisingly, after just about every party voiced its disapproval of the reformed GST, the bill was passed unanimously, with just one party choosing not to attend the session.
From here, the draft will move towards approval in the Senate and then move towards the lower house where more negotiations - read political deal makings - are likely to ensue.
At the time of writing this note, high level negotiations between high level government officials and the coalition partner MQM were under way at the Governors House in Karachi. Similar, but not nearly as thorny, bargains are being struck with other political machines as well.
To get stakeholders on board without losing too much of his bargaining power is the most daunting task the finance minister has faced so far in his tenure. So far his stance has remained stern on not letting exemptions slip out to powerful lobbies.
It remains to be seen how far the government is able to convince lawmakers on reformed GST, and they, in turn, look out for the interests of their constituencies. Reforms have never been easy for any country, why should they be any different for Pakistan.
Now that the ball has started rolling, the stakeholders at home should learn to compromise whereas the West should exhibit the time tested virtue of patience.