The government has hinted at an impending salary freeze for public-sector employees despite the current rapid rate of inflation, ahead of the unveiling of the budget for fiscal year 2011/12 (July-June) that is scheduled for May 28th. The government's economic team put forward two proposals to raise an additional PRs2trn (US$24bn) in tax revenue. The first involves a reformed goods and services tax (RGST), the introduction of which has been stalled for many months; the implementation of the tax is a key condition of continuing support from the IMF. If the RGST cannot be implemented owing to a lack of political consensus, the government will consider withdrawing all tax exemptions, a move that would raise an estimated PRs1.97bn a year in revenue. The second plan involves a one-year salary freeze for public-sector workers. Last year public employees received a 50% pay rise, the burden of which fell disproportionately heavily on provincial rather than regional (district-level) governments. The central government plans to increase the tax to GDP ratio from an unimpressive 9.1% in 2010/11 to a slightly better 9.5% in 2011/12.