Pakistan expected to see massive fuel price hike from July 1

ISLAMABAD: Prices of petroleum products are likely to increase by Rs8 per litre and high-speed diesel (HSD) by Rs10 per litre from July 1 for the next fortnight.

According to the details, petrol prices can hiked more by Rs13 per litre if the federal government adds a petroleum levy of Rs5 per litre from July 1.

The increase in prices of petroleum products will raise transportation costs resulting in fluctuation in inflation, worsening the existing cost of living in Pakistan and maintaining higher business costs.

Earlier, the federal government approved the hike of petroleum levy (PL) by Rs10 to Rs70 from the existing Rs60 per litre in the federal budget 2024-25. As per the decision, the PDL would be raised progressively by the pricing trend, so consumers would not see the effects right away.

The Shehbaz Sharif-led government has provided relief to inflation-hit citizens by decreasing the petrol price in the last four fortnightly reviews.

The price of gasoline and diesel has risen by roughly $4.4 and $5.5 per barrel, respectively, on the global market. The rise in the global market could lead to a hike in domestic petrol prices.

Expected petrol prices in Pakistan from July 1