The federal government has announced a decrease in petroleum product prices, cutting as much as Rs8 per litre.
This announcement was made public by Finance Minister Ishaq Dar during a television broadcast. Petrol will now be priced at Rs262 per litre, reflecting a Rs8 cut, while diesel will cost Rs253 per litre, after an Rs5 reduction.
These updated prices will take effect from midnight and remain constant for two weeks.
Dar also noted that throughout May, the combined decrease in petrol and diesel prices amounted to Rs20 and Rs35 per litre, respectively. This reduction comes amidst heightened governmental pressure due to escalating petrol prices – peaking at a record Rs282 per litre earlier this year – coupled with the highest regional inflation rate.
Although falling global oil prices have offered some respite, the depreciating rupee continues to present challenges for the government in maintaining lower prices.
Oil marketing companies (OMCs) had projected a likely Rs5 per litre fall in diesel and petrol prices. However, insiders hinted that the government might decide to hold petroleum product prices steady due to the depreciating rupee.
Read: Petroleum Prices to Drop Ahead of Federal Budget 2023-24, Says Industry Insiders