Prices for petrol and high-speed diesel (HSD) in Pakistan are anticipated to undergo a significant reduction starting from October 16. This decline is attributed to the drop in international oil prices.
Global oil prices have been experiencing their most substantial weekly losses since March, primarily due to concerns about demand amidst macroeconomic challenges and the partial easing of Russia’s fuel export restrictions. The decrease in oil prices has amounted to $7 per barrel globally. Despite this, on Friday, Brent futures showed a slight increase of 7 cents, reaching $84.14 per barrel at 1522 GMT. Meanwhile, US West Texas Intermediate (WTI) crude futures also saw a small uptick of 4 cents, reaching $82.35.
In the Gulf market, crude oil prices have fallen to $92 per barrel. Based on these figures, it is expected that the prices of petrol and HSD in Pakistan will decrease by approximately Rs22 and Rs20 per liter, respectively.
When converted from the dollar rate, the current price of a barrel of oil in Pakistan is approximately Rs26,220. This marks a significant drop from the rate of Rs29,898 per barrel recorded on September 15.
Beginning on October 1, the government had previously reduced the price of petrol by Rs8, bringing it down from Rs331.38 per liter to Rs323.38. Similarly, the rate of HSD had been decreased by Rs11, going from Rs329.18 per liter to Rs318.18. The Ministry of Finance had attributed these price reductions to the decline in international oil rates and the strengthening of the Pakistani rupee’s value.
It’s worth noting that the Pakistani rupee has been strengthening consistently, witnessing its 22nd consecutive recovery session. It gained 94 paisas against the US dollar in interbank trading, closing at Rs282.68 compared to the previous day’s closing rate of Rs283.62. Over the past month, the Pakistani rupee has appreciated by more than 8%, making it one of the top-performing currencies globally.
