Govt slashes petroleum prices by up to Rs40 per liter

In a double whammy of good news for Pakistan’s economy, the federal government has taken a bold step to alleviate the financial burden on citizens. In response to the ever-changing landscape of global oil prices and the remarkable appreciation of the Pakistani Rupee against the US Dollar, the government has significantly reduced the prices of two essential fuels.

The Finance Ministry issued a statement, explaining the rationale behind this decision: “Owing to the decreasing trend of petroleum prices in the international market and due to the appreciation of the Pakistani Rupee against the US Dollar, the government has decided to revise the existing consumer prices of petroleum products.”

Effective from midnight, the new prices bring relief to the people. Petrol, a staple for motorbikes and cars nationwide, now stands at an affordable Rs283.38 per liter. This price cut is particularly crucial in regions like Punjab, where compressed natural gas (CNG) is not readily available at filling stations, making petrol the go-to choice for many.

Simultaneously, the price of high-speed diesel (HSD), primarily used in agriculture and transportation, has been reduced to a more accessible Rs303.18 per liter. This decrease in HSD prices is expected to have a positive impact on inflation and ease the financial pressure on key sectors.

This isn’t the first time the government has taken action to benefit the public. On October 1, the caretaker government initiated a reduction in petrol prices by Rs8, reducing it from Rs331.38 per liter to Rs323.38 per liter. Similarly, the HSD rate was cut by Rs11, bringing it down from Rs329.18 per liter to Rs318.18 per liter, providing even more relief to the masses.

In an incredible turn of events for Pakistan’s economy, the Pakistani Rupee has broken records, maintaining a winning streak for 27 consecutive working days. This marks the first time such an achievement has occurred in three years. The rupee has reached a three-month high, dropping below Rs278 against the US Dollar in the inter-bank market. Over the past 27 working days, the currency has impressively regained 10.62% or Rs29.48, compared to the record low of Rs307.10 per US Dollar, recorded on September 5, 2023.

These developments promise a brighter future for Pakistan’s economic landscape, with reduced fuel prices and a strengthened national currency paving the way for a more prosperous and stable financial environment.