Islamabad: Just two days after getting its new finance minister, the Ishaq Dar-led finance ministry slashed the petrol price by Rs12.63 per litre on Friday.
According to a notification issued by the finance ministry, the price of petrol and high-speed diesel (HSD) has been reduced by Rs12.63 and Rs12.13, respectively.
— Ministry of Finance, Government of Pakistan (@Financegovpk) September 30, 2022
Following the changes in the prices, petrol will now be available for Rs224.80 per litre. Similarly, the new price of HSD now stands at Rs235.30 per litre.
Similarly, kerosene oil’s new price will be Rs191.83 following an Rs10.19 cut, and light diesel oil’s price will be Rs186.50 after a decrease of Rs10.78.
Dar said the decision to slash prices had been taken after a “detailed discussion” with Prime Minister Shehbaz Sharif.
Shortly after the minister announced the reduction in petrol prices, the PML-N’s official Twitter account tweeted that “more awami relief on its way, Insha’Allah”.
Petrol ⬇️ by Rs 12.63
Diesel ⬇️ by Rs 12.13More awami relief on its way, Insha'Allah.#BecausePMLNCares pic.twitter.com/DczepzcyUG
— PMLN (@pmln_org) September 30, 2022
It is important to know that the prices have been set for the next fortnight, which means they will remain so till October 15.
It is also important to know that the decision to slash prices was taken after a tacit nod from the International Monetary Fund (IMF). FM Ishaq Dar had held a virtual meeting with IMF Mission Chief Nathan Porter on Thursday in which he took him into confidence over the price reduction in view of the flood situation and an earlier assurance by the Fund’s managing director to allow relaxations during PM Shehbaz’s visit to the US.
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Presently, the general sales tax (GST) is zero on all the key petroleum products including petrol, HSD, kerosene and LDO, against the normal rate of 17%.
To pass on the relief to the consumers, the government took a hit on revenue by reducing the petroleum development levy (PDL) on petrol by Rs5 per litre to Rs32.42. However, the same has been increased by Rs5 per litre on HSD to Rs12.58.
