Government Expected to Slash Petrol and Diesel Prices This Week

The federal government is likely to bring much-needed relief to the public this week with a significant reduction in the prices of MS petrol and High-Speed Diesel (HSD). According to sources, the prices are expected to drop by Rs. 8.5-9.3 per liter for petrol and Rs. 9 per liter for diesel, effective from August 15, 2024.

Decline in International Oil Prices Fuels Expectations

The anticipated price cut comes on the heels of a decline in international oil prices. Over the past fortnight, the prices of High-Speed Diesel (HSD), petrol, and crude oil have all shown a downward trend, dropping to $91, $84, and $82 per barrel, respectively. This decrease, coupled with a stable Pakistani rupee, which held steady at 278 during the period, has paved the way for the expected reduction in fuel prices.

Projected New Fuel Prices

If the government goes ahead with the expected price cuts, the price of HSD in Pakistan could decrease to approximately Rs. 263.7 per liter. Meanwhile, the price of MS petrol is expected to fall to around Rs. 260-261 per liter, bringing some relief to consumers who have been burdened by rising fuel costs.

Previous Price Adjustments

This expected reduction follows the government’s recent decision in the previous fortnight, where the price of petrol was cut by Rs. 6.17 per liter, bringing it down to Rs. 269.43 per liter. Similarly, the price of diesel was reduced by Rs. 10.86 per liter, settling at Rs. 272.77 per liter.

Impact on the Economy

The potential price cut is expected to provide some relief to the general public, as lower fuel prices could ease inflationary pressures and reduce transportation costs. This, in turn, could have a positive impact on the cost of goods and services across the country, providing a much-needed respite for consumers.

As the government prepares to announce the new prices, all eyes are on the official confirmation, which could bring welcome news to households and businesses alike.