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Pakistan’s Top Leadership Sets Unified Response to Energy Shock From Iran Conflict

Leaders approved austerity measures to blunt energy shocks from disrupted Gulf fuel routes.

Overview

  • The high-level huddle, which met Thursday at Aiwan-e-Sadr, brought President Asif Ali Zardari, Prime Minister Shehbaz Sharif, Field Marshal Syed Asim Munir and senior ministers into one room to set a single course.
  • Finance and petroleum officials said they are working to steady pump prices, cut government spending and limit inflation from higher fuel costs.
  • Briefings pointed to supply snags through the Strait of Hormuz that have pushed Pakistan’s oil import bill to about $10.71 billion and strained LNG flows from Qatar and the United Arab Emirates.
  • The group backed public campaigns that urge less driving, greater use of buses and trains and more ride sharing to ease demand that has driven up transport and food costs.
  • Officials reviewed regional risks and noted ongoing diplomacy, with Dunya News reporting the prime minister briefed the president on mediation efforts and Geo News describing stepped-up outreach to lower tensions.