Pakistan Economic Crisis: There is another bad news for the people of Pakistan who are facing huge problems due to economic crisis and record breaking inflation. The prices of petroleum products are likely to increase by 10-14 PKR per liter in Pakistan for the next fortnight.
This information has been given in the media report on Saturday. The News reported that according to industry sources, the government may increase the prices of petroleum products due to rising oil prices in the global markets.
Prices may increase by this much
This increase may go up to 14 PKR per liter if the government also adjusts the loss of exchange rate, unlike the previous review.
As per the functioning of the country’s oil sector, the ex-depot price of petrol is set at PKR 14.77 per liter for the next review of prices with exchange rate loss adjustment.
Even though the government refrains from adjusting the exchange deficit, it will still face a hike in petrol price due to increase in global oil prices. The expected increase in the price of petrol is based on the current rate of taxes. The government is levying 50 PKR per liter levy on petrol with zero general sales tax.
Government has no other way
In the present scenario, he said, the government has no option but to increase the price of petrol as its financial position is already weak.
At the same time, the government is making desperate efforts to revive the IMF program to increase foreign exchange reserves, The News reported. Significantly, all the hopes of Pakistan now rest on the funds received from the International Monetary Fund (IMF) from $ 1.1 billion. This funding is part of the $6.5 billion bailout agreement signed in 2019. Although it is not so easy for Pakistan to get this fund.
