New Delhi: Pakistan’s ministry of finance on Sunday raised petrol and diesel prices by 35 rupees a litre after the country’s currency value plummeted this week when price caps were removed. Pakistan Finance Minister Ishaq Dar made the announcement regarding the increase in fuel prices and it has come into effect from 11 am on January 29, news agency ANI reported.
In a televised address on Sunday, Ishaq Dar said that the price of kerosene oil and light diesel oil were increased by PKR 18 per litre.
Pakistan Finance Ministry in a tweet said that the new price of petrol is PKR 249.80 per litre and diesel is PKR 262.80 per litre.
Govt announced new prices of Petroleum Products with effect from 11.00 hrs, 29 Jan ,2023.
High Speed Diesel-Rs 262.80 per litre
MS Petrol —Rs 249.80 per litre
Kerosene Oil -Rs 189.83 per litre
Light Diesel Oil – Rs 187 per litre
— Ministry of Finance (@FinMinistryPak) January 29, 2023
Last week, the Pakistani rupee lost close to 12% of its value after the removal of price caps that were imposed by the government but which were opposed by the IMF.
“The Pakistani rupee saw devaluation last week […] and now we are seeing an 11 per cent increase in the prices of petroleum products in the international market,” Dawn quoted Ishaq Dar as saying.
“We will have to take the rise in international oil prices and the devaluation of the rupee into account,” Dar said.
“This rise is being done immediately on the recommendation of the oil and gas regulatory authority who said there were reports of artificial shortages and hoarding of fuel in anticipation of price rises – hence this price rise is being done immediately to combat this,” he added.
Ahead of Dar’s announcement, rumours of a massive increase in petrol prices led to long queues at petrol pumps in many parts of Pakistan. Reports posted on social media had said that the price of petrol and diesel were expected to increase between Rs 45 to Rs 80 on February 1, reported ANI.
“We saw a report on social media that oil prices will go up due to the surge in the dollar’s value and international petroleum rates,” Dawn quoted Hassan, who queued at a petrol pump, as saying.