Pakistan might increase the petroleum products prices by Rs14 to Rs24 per litre amid the rise in the international oil markets. The decision would be taken by the next bi-monthly review (August 16-31).
If approved, this would second massive hike in petroleum products after the outgoing government increased the fuel prices by nearly Rs20 per litre on August 1 amid a hike in rates in the international market.
The current rate of petrol stands at Rs272.95 while the high-speed diesel price is Rs273.40 after the Rs19.90 increase. In the recent past, Pakistan has been increasing fuel prices after every 15 days.
“We could have adjusted but we are in the IMF programme and everyone knows it’s a standby arrangement,” the-then finance minister Ishaq Dar said on state media.
The government intended to provide relief to the people, according to Dar. He mentioned the Rs30 cut in petrol prices in the past. “But you know international price is not in our control. We did working to the last penny to leave no way by which we can decrease it or control it.”
Refined product prices have gone up by $13 per barrel to $111 per barrel, and petrol prices have climbed by $7 per barrel to $97 per barrel over the past two weeks.
The government is charging Rs55 worth of petroleum levy on petrol and Rs 50 per litre on HSD. It was expected the potential price fuel sky-high inflation in the cash-strapped country.