The federal government announced an increase in petrol prices by Rs9.66 per litre for the forthcoming fortnight, attributing the adjustment to a rise in global crude oil prices.
Following the hike, high-speed diesel (HSD) was reduced by Rs3.32 per litre. These changes, effective from April 1, were detailed in a Finance Division statement.
The adjustment reflects international market trends, with petrol prices climbing and HSD costs slightly falling. This pricing strategy aligns with the government’s policy to mirror international price fluctuations in the domestic market, leading to a decrease in HSD prices, consistent with a mid-March revision.
| Product | Existing Price | New Price | Increase/Decrease |
|---|---|---|---|
| MS (Petrol) | 279.75 | 289.41 | +9.66 |
| High Speed Diesel (HSD) | 285.56 | 282.24 | -3.32 |
Fuel prices are reviewed biweekly, considering global oil price shifts and the local currency’s exchange rate. As of the last assessment, the rupee has seen a modest appreciation against the dollar, noted at approximately 277.94 per dollar.
Prime Minister Shehbaz Sharif’s administration maintained stable petrol prices and reduced HSD costs by Rs1.77 per litre in the previous fortnightly review. Pakistan, heavily reliant on oil imports, faces a balance of payments crisis and escalating inflation.
The uptick in fuel costs is expected to impact living and transportation expenses further. This is especially notable as petroleum product sales fell by 19% in February, attributed to diminished gasoline and diesel consumption amidst an economic downturn. The government continues imposing a Rs60 per litre petroleum development levy on petrol and HSD.
