No revision because of gazetted holiday, petrol remains at Rs325.43 per litre while HSD stays at Rs383.95
People wait in line at a petrol pump. — FILE PHOTO
No notification of a revision in fuel prices was issued on August 14 by the Ministry of Petroleum due to it being a gazetted holiday, hence prices remain the same as a day before.
Petrol would continue to be available at Rs325.43 per litre, while high-speed diesel (HSD) would remain priced at Rs383.95 per litre, rates that were fixed for August 14.
Read: Govt announces 45 paisas increase in petrol, Rs1.16 in HSD price for August 14
On July 17, the government introduced a daily fuel price review mechanism amid volatility in global oil prices following renewed hostilities in the Middle East.
The daily fuel prices are based on a seven-day average of international market rates to align with international standards.
According to the Pakistan Economic Survey 2024-25, petroleum products constitute one of the country’s largest import categories, making the economy highly vulnerable to changes in global crude oil prices. Domestic refineries satisfy only part of national demand, while the remainder is met through imports of crude oil and refined petroleum products. Consequently, every increase in international oil prices raises Pakistan’s import bill, pressures foreign exchange reserves, and contributes to inflation.
Pakistan previously exercised significant government control over petroleum pricing through subsidies and administrative interventions. While these measures temporarily protected consumers, they imposed substantial fiscal costs. During periods of elevated global oil prices, successive governments delayed passing price increases to consumers, creating financial pressures for oil marketing companies, refineries, and the national budget. Large fuel subsidies widened fiscal deficits, increased public borrowing, and weakened macroeconomic stability.
Global geopolitical developments continue to pose significant risks. International oil prices are influenced by decisions taken by OPEC+, conflicts in the Middle East, sanctions on oil-producing nations, and disruptions in critical shipping routes such as the Strait of Hormuz and the Red Sea. Any interruption in these supply chains can immediately increase crude oil prices and freight costs. Since Pakistan imports the majority of its petroleum requirements, these developments quickly translate into higher domestic fuel prices.
Crude oil prices climbed on Friday over renewed attacks on tankers and a war of words between the Trump administration and Iran’s leadership.
Brent futures were up 80 cents, or 0.92%, to $87.87 a barrel at 10:48 am CT (1548 GMT), while US West Texas Intermediate crude futures were up 43 cents, or 0.53%, to $81.69 a barrel.
Higher oil prices are a natural result of the latest US approach to Iran, which implies little hope of a near-term resolution, said Bjarne Schieldrop, chief commodities analyst at SEB Research.
