Pakistan’s caretaker government has increased petrol and diesel prices by more than Rs26 and Rs17 per litre, respectively, for the next fortnight. This is the second time within a month that the government has raised fuel prices, citing the increasing trend of petroleum prices in the international market and exchange rate variations.
Read More: Massive Fuel Price Hike Leaves Citizens in Dismay
The new price of petrol is Rs331.38 per litre, while the new price of high-speed diesel (HSD) is Rs329.18 per litre. The government is required to raise fuel prices as part of its agreement with the International Monetary Fund (IMF) under a $3 billion standby agreement.
Oil prices hit a 10-month high on Friday and were set to post a third weekly gain as supply tightness spearheaded by Saudi Arabian production cuts combined with optimism around Chinese demand to lift crude.
The latest hike in fuel prices is expected to have a significant impact on consumers and businesses in Pakistan. Many people are already struggling to make ends meet due to the high cost of living, and the increase in fuel prices will only add to their burden.
The government of Pakistan has said that it is working to provide relief to consumers and businesses, but it is unclear what steps will be taken.