Pakistan Raises Fuel Prices Again Amid U.S.-Iran War Driving Global Oil Higher
ISLAMABAD — Pakistan sharply increased petrol and diesel prices on Thursday for the second time in less than a month, with diesel jumping nearly 55 percent to about 520 rupees per litre and petrol rising more than 42 percent to around 458 rupees per litre.
The hike follows a roughly 20 percent increase last month and stems from surging global oil prices triggered by the U.S.-Iran war, according to officials. Petroleum Minister Ali Pervaiz Malik stated the rises were unavoidable due to an "out-of-control" international oil market and supply disruptions.
Pakistan imports its oil primarily from Saudi Arabia and the United Arab Emirates through the Strait of Hormuz. Global benchmarks reflected the volatility, with U.S. crude climbing 11 percent and Brent crude rising 8 percent after former U.S. President Donald Trump signaled additional military action.
Finance Minister Muhammad Aurangzeb announced targeted subsidies for farmers, motorcyclists and the transport sector to ease the burden amid rising inflation pressures on households and businesses. He noted the government has allocated 129 billion rupees for subsidies over the past three weeks.
Officials described the measures as necessary responses to market forces beyond national control.
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