Massive Rise: POL Prices Up By Rs19

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2023-08-01T13:57:24+05:00 News Desk
Finance Minister Ishaq Dar announced a significant Rs19 per liter rise in the price of petrol and diesel on Tuesday. He said that this move was made in the "national interest" in accordance with an agreement with the International Monetary Fund (IMF).

The new pricing is now in effect.

The government was supposed to publish new rates on July 31 but instead chose to preserve or lower the existing rates in order to lessen the impact of the price increase on citizens who were already sick of inflation.

Dar said the rise was unavoidable since Pakistan and the IMF had agreed to add the Petroleum Development Levy (PDL) to the rates.

"We looked for ways to cut back or change how it operated. But everyone is aware of our agreements we have with the IMF about the petroleum development levy, said Dar.

According to the finance minister, if the government hadn't reached a deal with the IMF, it would have cut the PDL to provide the general public relief.

Dar stated that he would not follow the actions taken by the previous government, which Dar claimed violated IMF agreements and reduced the price of petrol.

The finance minister said that the government decided to raise local prices since the cost of high-speed diesel had increased dramatically on the international market.

The finance minister said, "Keeping in mind national interest, it is crucial that we pass on the minimum [amount] that has been calculated."

To guarantee the smooth operation of the $3 billion Standby Agreement, the IMF has placed strict requirements. The accord includes an increase in the fuel tax to Rs. 60 per liter.
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