Pakistan Government Hikes Petrol Price by Rs 8.36, Diesel by Rs 10.39

Pakistan Government Hikes Petrol Price by Rs 8.36, Diesel by Rs 10.39

Petrol Price Increase: Latest Numbers

As of June 30, 2025, the Petrol Price Increase in Pakistan has been increased to PKR 258.43 per liter, which is a PKR 8.36 rise from the previous rate of PKR 253.63. Similarly, high-speed diesel (HSD) has also seen a hike of PKR 10.39, reaching PKR 266.79 per liter. Light diesel and kerosene remain unchanged at PKR 155.81 and PKR 166.2, respectively.

This update is part of the government’s regular fortnightly review, carried out by the Oil & Gas Regulatory Authority (OGRA), which adjusts fuel prices based on global crude market trends, currency fluctuations, and domestic tax policies.

Reasons Behind the Hike

There are two primary reasons for this latest price surge:

  • International oil prices have remained relatively high, placing upward pressure on domestic rates.

  • Currency devaluation of the Pakistani Rupee has made imported fuel more expensive, further contributing to the hike.

OGRA uses a combination of international oil trends, freight charges, exchange rates, and local taxation policies to calculate and recommend revised fuel prices every two weeks.

Impact on Consumers and Economy

This PKR 8.36 increase in petrol directly affects everyday life. For families that use around 40 liters of fuel per month, this change adds nearly PKR 200 more to their monthly fuel expense. Public transport fares may also rise as diesel costs increase, affecting commuters, schoolchildren, and the working class.

Industries that depend on fuel for logistics—such as agriculture, retail, and manufacturing—will face higher operational costs, which could lead to a spike in the prices of essential goods and services. Although the rise is not the steepest in Pakistan’s history, it continues a pattern of economic strain on households already burdened by inflation and energy tariffs.

Will Prices Drop Soon?

There had been earlier predictions of a PKR 3.50 reduction in petrol and PKR 7 drop in diesel due to softening international oil prices.The government occasionally raises per-liter taxes to meet fiscal goals, which can offset any potential benefit from falling global oil rates.

Conclusion

The latest revision in fuel prices—PKR 258.43 for petrol and PKR 155.81 for diesel—reflects ongoing volatility in both international markets and domestic economic policies. These adjustments are critical for managing national revenue but come at a real cost to consumers.

With transportation, food, and electricity costs already climbing, fuel price hikes tighten the financial pressure on average citizens. Until long-term energy alternatives are developed and currency stability improves, the people of Pakistan will likely continue facing fuel-related economic challenges every few weeks.

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