Islamabad: The prices of petroleum products are likely to increase by PKR 10-14 per liter in Pakistan for the next fortnight. This information has been given in the media report on Saturday. According to industry sources, due to rising oil prices in the global markets, the government may increase the prices of petroleum products. This increase could go up to PKR 14 per liter if the government also adjusts for exchange rate losses, unlike the previous review.
As per the functioning of the country’s oil sector, the ex-depot price of petrol is set at PKR 14.77 per liter for the next review of prices with exchange rate loss adjustment. Even though the government refrains from adjusting the exchange deficit, it will face a hike in petrol price due to increase in global oil prices. The expected increase in petrol price is based on the current rate of taxes.
The government is levying a PKR 50 per liter levy on petrol with zero general sales tax. In the current scenario, he said, the government has no option but to increase the price of petrol as its financial position is already tight. At the same time, the government is making desperate efforts to revive the IMF program to increase foreign exchange reserves.
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