Overview
The expectations of reducing petrol prices are not fulfilled. Finance Minister Ishaq Dar announced different new and retained petrol prices for next fortnight. The price of diesel and petrol are not increasing or decreasing. However, it is very early to expect a reduction in petrol prices with Russian Oil. Because the first shipment or vessel of Russian oil reached Pakistan just a few days ago. It takes time to refine the oil and be ready to deliver it to fuel stations.
The other price increase concerns after the increase in the petrol levy from Rs. 50/liter to Rs. 60/liter. but it also did not come in real and the price remain unchanged. However, it is also against the masses expectations. The only possible option to get relief from Inflation-strictness is the reduction in fuel prices as it leads the several factors which make end users in trouble.
It is to remind you that Petroleum Ministry Musadik Malik and the Ministry of Defence of Pakistan uttered reportedly about the cheap petrol after Russian oil reached Pakistan. they also said the price reduction comes into effect before the Budget 2023-24.
Current Petrol Prices In Pakistan
As per the announcement of the Finance Ministry petrol price will remain at Rs. 262/Liter. Meanwhile, the Diesel price will remain at Rs. 253/Liter. These prices were announced on 31st May 2023 for the next fortnight and remain unchanged for the next fortnight. The last time the Ministry had reduced the price of petrol by Rs. 8/Liter.
The significant reduction in petroleum sales raised concerns in Pakistan. As per the April 2023 report, the sale was drop by 47% on a year-over-year basis. From July to April of FY23, the sale contracted by 24% and reach to 13.970 million tonnes.
Conclusion
Contracting to Russia for Oil import is a great proactive step the government has taken to give a pillar on the fading economic situation. The main reason behind the inflation strictness is the unstable petrol prices which lead to several concerns in the country. Transportation charges effect by petrol rates and put a burden on goods prices.
