ISLAMABAD: Fuel prices in the country are primed for a big increase in next fortnight review due to massive devaluation of rupee.
The exchange rate of the greenback has increased by Rs12.08 from August 16, 2023 as of August 24.
The exchange rate would be the only factor driving up the price of gasoline and diesel starting on September 1. POL products and crude, on the other hand, maintained a rather consistent price on the global market. A further increase in dollar value is still anticipated even if there are only six days left in the current fortnight.
The cost of petrol has already climbed by Rs. 37.50 and that of diesel by Rs. 40 per litre over the past two weeks. However, in the most recent scenario, the dollar’s open market value was Rs314 while its interbank value exceeded Rs300.
Industrial sources predict that the price of gasoline and diesel may rise by double digits in the first two weeks of September as a result of the procurement of crude and POL products at higher US currency values.
If prices are calculated against the August 24 dollar value, the increase in petrol will be by Rs9.95 per litre and diesel by Rs13.73 per litre. However, if the dollar’s appreciation is not contained and allowed to float freely in the next 7 days, the price of POL products would surge by double digits.
Besides, the LCs confirmation charges have also increased by 10%, which were 0.5-1% 2-3 years ago.
