In a nationally televised address on Friday night, Prime Minister Shehbaz Sharif announced the government is reducing petroleum prices in line with global trends, fixing the new price of high-speed diesel at Rs. 385.54/liter and petrol at Rs. 366.58/liter.
The new rates are Rs. 11.83/liter lower for petrol and Rs. 134.81/liter for diesel. A notification issued by the Petroleum Division said the price of kerosene was similarly reduced by Rs. 17.33/liter to Rs. 450.15/liter and light diesel by Rs. 25.31/liter to Rs. 369.72/liter.
Last week, Sharif had slashed the petroleum development levy on petrol from Rs. 160/liter to Rs. 80/liter, reducing the price of petrol to Rs. 378/liter a day after the finance and petroleum ministers had raised it to Rs. 458.41/liter. Diesel meanwhile stood at an all-time high of Rs. 520.35/liter despite the imposition of zero PDL on it.
In his address, Sharif said he had rejected a proposal to pass on a minor reduction in the price of diesel to offset the subsidies provided by the government in the past month. Instead, he said, he had insisted the full benefit of the price reduction be passed onto the public.
He asserted the reduction in diesel prices would provide much-needed relief to the agriculture sector, adding it would also lower transportation costs for the general public. Targeted subsidies already in place, he said, would continue in all federating units in coordination with provincial governments.
Sharif noted that a massive hike in global oil prices due to the Iran war had triggered severe inflation, recalling he had vowed to the nation to pass on the benefit of price decline once the situation normalized. He emphasized that the government had spent Rs. 129 billion to offset the full impact of the global price hike on citizens. He thanked citizens for exercising patience amidst the inflationary pressures, reaffirming the government’s commitment to financial discipline.
The prime minister said the diesel price decline would particularly benefit farmers as wheat harvesting is underway. He concluded his address by expressing optimism about Pakistan’s future, pledging to build a rapidly developing country for future generations.
Earlier, Sharif commenced his address by describing upcoming peace talks between Iran and the United States in Islamabad as a “historic” moment. He noted that instead of war, the world was now talking of peace, as the key parties had all agreed to a ceasefire and committed to dialogue. Delegations of both Iran and the United States, he stressed, were en route to Pakistan on Islamabad’s invitation to engage in the negotiations.
Dubbing the moment a source of pride for not only Pakistan but the wider Muslim world, he particularly praised the efforts of Deputy Prime Minister and Foreign Minister Ishaq Dar and Army Chief and Chief of Defense Forces Field Marshal Asim Munir, saying their contributions would be remembered in “golden words.”
However, the prime minister emphasized, while a temporary ceasefire has been achieved, the path to lasting peace would require sustained dialogue. He urged the nation to pray for the success of the talks, as sustained peace could save countless innocent lives.