FuelPrices – Pakistan Raises Petrol and Diesel Rates for Fortnight
FuelPrices – Fuel prices in Pakistan have increased for the next two weeks, with the federal government announcing higher rates for both petrol and high-speed diesel. The revised prices will take effect from Monday, impacting motorists, transporters, and key sectors of the economy.
Revised Rates Announced for Next Fortnight
Under the latest adjustment, petrol will now be sold at PKR 258.17 per litre, marking an increase of PKR 5 from the previous rate of PKR 253.17. High-speed diesel has seen a steeper rise of PKR 7.32 per litre, bringing its new price to PKR 275.70 compared to the earlier PKR 268.38.
Fuel prices in the country are reviewed every two weeks. Authorities determine the adjustments based on trends in international oil markets, fluctuations in the exchange rate, and changes in domestic taxation policies. The periodic revision system aims to align local fuel rates with global petroleum price movements.
Impact of Diesel Price on Key Sectors
High-speed diesel holds particular importance in Pakistan’s economy. It is widely used in heavy transport vehicles, agricultural machinery, and parts of the power generation sector. Any increase in its price typically leads to higher transportation costs, which in turn can push up the prices of food items and other essential goods.
Industry observers note that diesel price changes often have a broader inflationary effect compared to petrol. As freight charges rise, the cost of moving goods across provinces also increases, placing additional pressure on consumers already coping with elevated living expenses.
Petrol Prices and Household Budgets
Petrol, while not as central to industrial activity as diesel, plays a significant role in daily commuting. It is commonly used in motorcycles, small cars, and rickshaws, which are primary modes of transport for many middle- and lower-middle-income families.
For households that rely on petrol-powered vehicles to travel to work or school, even a moderate price increase can affect monthly budgets. Commuters may need to reassess fuel consumption or adjust spending in other areas to manage the additional cost.
Recent Trends in Fuel Adjustments
The latest hike comes shortly after a reduction in diesel prices earlier this month. During the February 1 review, the government had lowered high-speed diesel by PKR 14 per litre, reducing it from PKR 282.38 to PKR 268.38 for a 15-day period. At that time, the petrol rate remained unchanged at PKR 253.17 per litre.
Prior to the current announcement, market sources had indicated that petrol prices might rise by around PKR 4.39 per litre, while diesel was expected to increase by about PKR 5.40. The final adjustments announced are slightly higher than those earlier projections.
Link to Broader Fiscal Measures
Fuel pricing also ties into broader fiscal commitments and revenue measures. In December 2025, Pakistan submitted projections related to petroleum development levy collections for the next five years to the International Monetary Fund. According to the submitted framework, a climate support levy is scheduled to increase by PKR 2.5 per litre starting July 1, 2026.
Such measures are part of ongoing efforts to manage fiscal targets while maintaining external financing arrangements. However, they also signal that fuel costs may remain subject to policy-driven changes in addition to global market trends.
With the new fortnightly rates in place, consumers and businesses alike will be watching international oil prices and currency movements closely, as these factors will influence the next review cycle.