The Federal Board of Revenue (FBR) has launched Pakistan’s first AI-based Customs Clearance and Risk Management System. This move comes under direct instructions from the Prime Minister to modernize and automate the customs process.
According to officials, the system has shown 98% efficiency during initial testing. It is expected to improve transparency, speed up customs clearance, and reduce human contact in the process. The FBR’s new AI-driven approach uses machine learning to estimate the type and value of goods being imported or exported.
The system showed strong results during its trial phase. Performance improved by 92%, while the system identified 83% more Goods Declarations (GDs) for tax collection. It also cleared 2.5 times more GDs through the Green Channel, boosting both processing speed and accuracy.
The AI-based system is designed to learn and improve automatically as goods pass through the supply chain. This continuous learning model helps FBR enhance its risk detection and valuation processes without relying heavily on manual intervention.
Officials noted that the new system would reduce the workload on customs staff. Automated classification and valuation of goods will now be handled through AI, allowing human resources to focus on other critical areas.
The Prime Minister praised the FBR team for their efforts and stressed the need to ensure full integration and long-term sustainability of the system. He emphasized that such digital reforms are essential to improving the country’s tax system.
During a recent review meeting on FBR reforms, the Prime Minister was also briefed on another upcoming technology: a video analytics system for better tax monitoring in the manufacturing sector.
The meeting was attended by Finance Minister Muhammad Aurangzeb, Information Minister Attaullah Tarar, the FBR Chairman, and other senior officials.
With this new system, FBR aims to boost efficiency, improve tax compliance, and support a more transparent trade environment in Pakistan.
The FBR’s push for digital reforms comes alongside other key initiatives. Recently, it also granted filer status to non-filing overseas Pakistanis for property transactions, aiming to boost investment and simplify compliance.
