ISLAMABAD: For the first two weeks of April, the federal government is expected to reduce petrol prices by up to 20 rupees per litre due to fluctuations in the price of oil on the global market.
According to reports in the local media, a proposal has been made to reduce the price of petrol by Rs4.30 and high-speed diesel by Rs20. This is because the country is in a financial crisis and its citizens are suffering from crippling inflation with little to no rise in income.
According to reports, a plan to reduce the cost of light-speed diesel and kerosene by Rs. 10 and Rs. 13 per liter, respectively, has also been put together.
Following a drop in petroleum product prices on the global market—London Brent oil recently saw a drop of up to 6.50 percent—the government will reveal new petroleum products.
As the IMF closely monitors the Pakistani government’s every move, the ministry will ultimately decide on the price of oil after consulting with Prime Minister Shehbaz Sharif.
IMF rejects Pakistan’s fuel subsidy plan
The current Pakistani administration is still having a difficult time, and a US-based lender has just denied an initial request for a petroleum subsidy. IMF requested from the government a detailed strategy for the petroleum subsidy.
In an effort to restore much-needed bailout funds that were suspended from last year, Islamabad has been in communication with the IMF.