By the time of the subsequent bimonthly review, Pakistan may increase fuel costs by Rs. 12 to Rs. 22 per litre due to rising global commodity prices.
Tahir Abbas, Head of Research at Arif Habib Limited (AHL), recently stated that if oil prices continue to rise internationally, the government may increase prices beyond Rs. 12–22 per litre.
The price of gasoline and oil was recently increased by the government by about 20 rupees per litre, bringing costs to 273. The government was compelled by the terms of the International Monetary Fund (IMF) loan to pass on rising prices for commodities worldwide to the local public.
Abbas proposed price increases of Rs. 20–22 per litre for diesel and Rs. 12–13 per litre for gasoline for the next fortnight of August. In the last two weeks, the cost of refined goods has increased by $13 to $111 per barrel, and the cost of petrol has increased by $7 to $97 per barrel.
The August inflation reading may be impacted by potential price increases. If inflation is higher than anticipated, the central bank may increase its policy rate in September.
An experienced businessman from the Federal of Pakistan Chambers of Commerce and Industry (FPCCI), Khalid Tawab, has urged the government to hold off on raising the price of petrol in light of these worries.
To help the general public and businesses, he suggests decreasing the petroleum development levy (PDL), which is currently charged at Rs. 50 per litre.
