EconomyPakistan

Petrol Prices Likely to Drop from October 1st, Says Finance Minister

Caretaker Finance Minister Dr. Shamshad Akhtar has revealed that Pakistan may see a significant reduction in petrol prices from October 1st, 2023. Amid a massive crackdown on illegal activities, the prices of petroleum products are expected to decrease.

According to the proposal, the price of petrol may be reduced by Rs15 per litre, and high-speed diesel by Rs10 per litre. The price of light diesel oil is proposed to be reduced by Rs12 per litre, and kerosene by Rs8 per litre. The final decision will be taken by the Prime Minister in consultation with the Finance Ministry.

Currently, the government is levying a tax of Rs.60 per litre on petrol and Rs.50 per litre on diesel. Additionally, a duty of about Rs22 to Rs23 per litre is also being charged on petrol and diesel respectively.

Dr. Shamshad Akhtar, in a briefing to the Senate Standing Committee on Finance, shed light on the overall economic situation of the country. She pointed out that expenditure exceeding income is the root cause of Pakistan’s economic problems, and that the country cannot afford Rs 1,300 billion in tax exemptions.

She also emphasized the need to impose capital gains tax on immovable assets. The minister noted that the exchange rate has stabilized, with the dollar coming down to Rs 288. Remittances have increased, and the ban on imports has been lifted.

The proposed reduction in petrol prices comes as a relief to the citizens of Pakistan, who have been grappling with high fuel costs. This move is expected to ease the financial burden on the common man and stimulate economic activity.

As the date approaches, all eyes are on the government’s final decision. If approved, this could be a significant step towards economic relief for the people of Pakistan. Stay tuned for more updates on this developing story.

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