Govt decides to increase prices of petrol Rs 30 per liter IMF program could not move forward without raising the prices of petroleum products. Miftah Ismail

Govt decides to increase prices of petrol, HSD, kerosene oil & light diesel oil by Rs 30 per litre from today: Miftah Ismail

ISLAMABAD ( Web News )

Federal Minister for Finance and Revenue Dr. Miftah Ismail Ahmed has said that the Government has decided to increase the prices of petrol, high speed diesel, kerosene Oil and light diesel oil by Rs 30 per litre from today (Friday).

In a statement issued on Thursday, Miftah Ismail said that the new prices will go into effect at midnight. The new price of petrol will be Rs 179.86 and diesel will be Rs 174.15 per litre.

“Government has decided to increase the prices of Petrol, High Speed Diesel, Kerosene Oil and Light Diesel Oil by Rs 30 per litre from Friday May 27, 2022. New prices will go into effect at midnight. The new price of petrol will be Rs 179.86 & diesel will be Rs 174.15 per litre” Miftah Ismail tweeted.

Federal Finance Minister Miftah Ismail told a press conference that the IMF program could not move forward without raising the prices of petroleum products. Following Rs 30 per liter increase in price of Petrol the new price will be Rs 179.86.

The price of high-speed diesel (HSD) was also increased by Rs 30 per liter and will now cost Rs 174.15 per liter.

He said Prime Minister Shehbaz Sharif has taken this difficult decision in the larger interest of national economy. He said that it is a hard decision for the government to impose such kind of burden on general public.

He said the government is providing 56 rupees per liter subsidy on petroleum products as the previous government had fixed these prices which caused to increase inflation in the country.

Miftah Ismail said that IMF Program cannot be approved for Pakistan without increase in petroleum prices.

Earlier today, the International Monetary Fund (IMF) urged Pakistan to end subsidies on electricity and petroleum products to revive the program.

According to a statement issued by the IMF, the IMF mission, led by Nathan Porter, held virtual and direct talks with Pakistani officials on policies to ensure economic stability and sustainable growth in Pakistan from May 18 to May 25.

The statement stated that the mission held constructive talks with Pakistani officials to reach an agreement on policies and reforms to conclude the seventh review of the pending reform program, which is supported by the IMF Extended Fund Facility arrangements.

The IMF said that significant improvements had been made during the mission, including high inflation and fiscal and current account deficits, while adequate protection was being ensured to end the sharp decline. In this regard, the implementation of the policy rate hike from May 23 was a welcome step.

It was informed that the promises made in the previous review in the financial sector have not been fulfilled and the authorities announced partial subsidies for fuel and energy in February, statement sated.

“The team emphasized the urgency of concrete policy actions, including in the context of removing fuel and energy subsidies and the FY2023 budget, to achieve program objectives.” IMF added.

“The IMF team looks forward to continuing its dialogue and close engagement with Pakistan’s government on policies to ensure macroeconomic stability for the benefit all of Pakistan’s citizens.”