Amid a deepening fuel crisis, Prime Minister Shehbaz Sharif addressed the nation on Friday, outlining measures to ease the burden on ordinary citizens. He announced a major reduction of 80 rupees in the price of petrol, bringing it down to 378 rupees per liter, while highlighting the unprecedented surge in oil prices across the region and the challenges it poses for the common person.
The address follows the government’s announcement, made just a day earlier, of an unprecedented hike of 43% in petrol prices and 55% in high-speed diesel (HSD).
The Prime Minister announced a reduction of 80 rupees in the price of petrol, bringing it down to 378 rupees per liter.
He said that the war in the region should end as soon as possible and peace should be established. Small trucks will receive a monthly subsidy of 70,000 rupees, large trucks 80,000 rupees, and public transport 100,000 rupees. PM also announced Rs100/liter subsidy for motorcyclists for one month.
The Prime Minister added that a subsidy of 100 rupees per liter will be provided to support freight vehicles, and small farmers will receive 1,500 rupees per acre in aid. There will be no increase in economy-class fares on the railways.
The Prime Minister said that national resources are limited, and today there has been a staggering increase in oil prices in global markets. Inflation has crippled even the world’s strongest economies.
He added that he understands how the common person in Pakistan struggles to make a living.
It is worth mentioning that Pakistan has emerged as the world’s second most fuel-unaffordable country, as petrol and diesel prices have surged sharply in recent weeks, placing immense pressure on consumers.
Petrol prices have climbed to Rs458.40 per liter, reflecting a 42.7% increase, while diesel has jumped by 54.9% to Rs520.35 per liter, one of the steepest hikes seen in recent months.
The surge has been largely attributed to global oil market disruptions triggered by tensions involving Iran, which have driven international prices higher.
In terms of affordability relative to average income, Pakistan now ranks just behind Ethiopia, where low wages make fuel even less accessible. Despite having lower nominal fuel prices, Ethiopia’s income levels place it at the bottom of the global affordability index.
The situation contrasts sharply with oil-rich nations such as Saudi Arabia, Qatar, and the United Arab Emirates, where fuel prices remain significantly lower, often below Rs200 per liter in Pakistani currency terms.
