Islamabad, April 15, 2024 – Pakistan announced a significant increase in petrol and diesel prices, set to take effect from April 16, 2024, stirring concerns among consumers already grappling with high inflation rates.
In a recent announcement regarding petroleum prices for the second fortnight of April 2024, Pakistan revealed a notable surge in petrol prices by Rs 4.53 per liter and high-speed diesel (HSD) by Rs 8.14 per liter.
The revised prices for petroleum products for the latter half of April 2024 are as follows:
• Petrol: Increased to Rs 293.94 per liter from Rs 289.41 per liter.
• High-Speed Diesel (HSD): Increased to Rs 290.38 per liter from Rs 282.24 per liter.
According to a statement issued by the finance division, the decision to raise prices was prompted by an upward trend in international market prices for petroleum products during the preceding fortnight. The Oil and Gas Regulatory Authority (OGRA) calculated the consumer prices based on fluctuations in the global market.
“The prices of motor spirit (petrol) and diesel for the upcoming fortnight, commencing April 16, 2024, are consequently being revised,” the finance division elaborated.
Market analysts expressed concerns over the impact of the hike in petroleum prices on consumers, predicting a ripple effect leading to the escalation of prices for essential items. With citizens already grappling with high inflation rates, the latest surge in petroleum product prices is expected to compound their financial woes.
The decision to raise petrol and diesel prices comes amid ongoing economic challenges facing Pakistan, including inflationary pressures and fiscal deficits. The government faces the delicate task of balancing the need to generate revenue with the necessity of mitigating the burden on consumers, particularly the most vulnerable segments of society.
While the increase in petrol and diesel prices may bolster government revenues, it also risks exacerbating the cost of living for ordinary citizens. The burden of these price hikes is likely to be felt most acutely by low-income households, who allocate a significant portion of their budgets to transportation and basic necessities.
Moreover, the escalation in fuel prices could potentially fuel inflationary pressures across various sectors of the economy, further straining household budgets and dampening consumer spending.
In response to the impending price hike, consumers and advocacy groups may voice their concerns and call for measures to alleviate the impact on vulnerable segments of society. The government, in turn, may face pressure to implement targeted subsidies or other relief measures to cushion the blow of rising fuel prices on low-income households.
As Pakistan grapples with the economic fallout of the pandemic and seeks to navigate a path to recovery, the decision to raise petrol and diesel prices underscores the complex challenges confronting policymakers in balancing fiscal imperatives with socio-economic considerations.
