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Pakistan Weighs Rs4–5 Petrol Cut From Jan. 16 With Smaller Diesel Reduction

Final approval from the prime minister will determine whether the proposed cuts take effect.

Overview

  • Preliminary calculations point to reductions of up to Rs4.59 per litre for petrol and about Rs2.70 for high-speed diesel starting Jan 16.
  • Estimated pump prices would be roughly Rs248.58 for petrol and Rs254.38 for diesel if the revision is approved.
  • OGRA is scheduled to submit its pricing summary to the Petroleum Division on Jan 15, after which a decision will be sent for the prime minister’s approval.
  • Global product prices have eased, while a 72-paisa customs cut and a 68-paisa exchange adjustment reduced ex-refinery petrol by Rs6.51 per litre and diesel by Rs5.33.
  • The prospective move would extend early-January cuts of Rs10.28 on petrol and Rs8.57 on diesel, though short-term oil and currency swings could still change the final numbers.