Govt hikes petrol and diesel prices by whopping Rs 19.95 and Rs 19.90 per liter

Amidst mounting economic pressures, the masses find themselves grappling with yet another burden as the government on Tuesday increased petrol prices by a staggering Rs19.95 per litre and diesel price by Rs19.90 per litre for the next fortnight.

The hike has taken up the new price of petrol to Rs272.95 per liter and diesel to Rs 273.40 per litre.

The decision was announced by Finance Minister Ishaq Dar during a live broadcast, citing the necessity of adhering to the terms agreed upon with the International Monetary Fund (IMF).

The IMF has imposed stringent conditions to ensure that the $3 billion Standby Agreement continues smoothly. One of the requirements of the agreement is to raise the petroleum levy to Rs60 per litre.

The finance minister said that the price of high speed diesel (HSD) and petrol in the international market had increased over the last 15 days.

He said that the government had checked the “working” of Oil and Gas Regulatory Authority (Ogra) until the late hours of the night.

“The delay in the announcement, the basic reason was that we were looking at if there were ways to reduce it, if there was some leeway,” Dar said.

The minister said that the matter was then discussed with Prime Minister Shehbaz Sharif earlier today.

“We all know that the international commitments we have with the International Monetary Fund (IMF) regarding the petroleum levy, if they weren’t there (…) then we would’ve announced a smaller increase but everyone knows we have a standby agreement,” he said as he highlighted how the previous PTI government had reneged on its promises with the money lender. “So in the country’s interest, it is necessary that the minimum increase calculated be passed and HSD is being increased by Rs19.90 and the new price will be Rs273.40. And petrol price is being increased by Rs19.95 to Rs272.95,” the minister said. – News Agencies