Petrol Price Soar: Rs 24 Expected Increase by August 16
The cost of petrol is expected to rise significantly, with an anticipated increase of Rs 24 by August 16th.
Reports by some top tire news channels indicate that the Government of Pakistan may raise petrol and diesel prices by Rs14 to Rs 24 per liter from the latter half of August 2023. The increase came in a row as the government had an abrupt hike in the prices in the preliminary days of August that exploded more than a nuke amid high inflation. It is rumored to have an increase while the country is haggling with IMF’s demand and the rising prices in the international market that has been more than a havoc so far.
Current Petrol Price in Pakistan
Reasons for the Expected Hike
The are several reasons for the expected hike in petrol and diesel prices. These include:
1. Meeting IMF Terms: The increase in fuel prices is part of the government's efforts to meet the terms set by the IMF. This is crucial for the country's funding program and economic stability.
2. Rising Oil Prices: The rise in global oil prices also influences the rise in fuel prices. As oil prices increase, it directly impacts the cost of petrol and diesel in Pakistan.
Cited in a renowned news site, refined products have gone up by $13 per barrel, reaching $111, while petrol has increased by $7 per barrel, now at $97 in the international market. Additionally, the government imposes a Rs55 petroleum levy on petrol and a Rs50 per liter charge on high-speed diesel.
It is worth mentioning that these recent price hikes come after a previous increase of about Rs 19 for petrol and diesel from August 1, 2023.
To sum up, it is expected that the cost of petrol and diesel in Pakistan will rise between Rs 14 and Rs 24 per liter from August 16, 2023, due to the international market's upward trend. The current price of petrol in Pakistan is Rs 272 per liter, and the high-speed diesel price is Rs273 per liter. It is worthy to note, as the prices leap forward so as the inflation. It is mandatory to take precautionary actions to wear off the economic heat weave on your way.
