Fuel Price Hike Likely in Pakistan as Global Oil Costs Rise

Fuel prices in Pakistan are expected to increase today, raising concerns about another wave of inflation for consumers already dealing with higher living costs.

The expected revision comes after a rise in global crude oil prices, driven by escalating tensions between Iran and the United States. As an oil-importing country, Pakistan remains highly sensitive to changes in international energy markets.

Expected Increase in Fuel Prices

According to expectations for the new pricing review effective from July 18:

High-speed diesel could increase by up to Rs40 per litre.
Petrol could rise by up to Rs10 per litre.

If approved, the increase will directly affect transportation costs and could place additional financial pressure on households and businesses.

Why Are Fuel Prices Expected to Rise?

The anticipated increase is primarily linked to higher international crude oil prices. Recent geopolitical tensions between Iran and the United States have pushed global oil prices upward, with Pakistan expected to feel the impact due to its reliance on imported petroleum products.

Government Considering Relief Measures

To reduce the financial burden on consumers, the government is reportedly considering lowering the petroleum levy. While the final pricing decision has yet to be announced, this measure could help limit the overall increase in fuel prices.

Crackdown on Artificial Fuel Shortages

Alongside the expected price revision, the government has decided to take strict action against those accused of creating artificial shortages of petroleum products.

The National Committee on Monitoring and Coordination has taken notice of reports of hoarding and directed OGRA to initiate immediate legal action against those responsible.

Authorities have also instructed relevant departments to ensure the uninterrupted supply of petroleum products across the country, preventing unnecessary shortages and minimizing inconvenience for consumers.

Economic Experts Warn of Ongoing Challenges

According to economic experts, fluctuations in global oil prices remain a significant challenge for import-dependent countries like Pakistan. Rising geopolitical tensions continue to create uncertainty in international energy markets, making domestic fuel pricing increasingly vulnerable.

Experts believe that while the government's action against hoarding is timely, long-term stability will require reducing dependence on imported energy through alternative energy sources and stronger energy planning.

Conclusion

Pakistan is likely to see another increase in fuel prices as rising global oil costs continue to impact the local market. While authorities are considering measures to ease the burden and prevent artificial shortages, consumers may still face higher transportation and living costs if the expected price hike is approved.