Sources say the initial calculations have been prepared in light of declining global oil prices
Prices of petroleum products in Pakistan are likely to decrease by up to PKR 6.10 per liter starting October 16, sources familiar with the matter informed Nukta.
The price of petrol may be reduced by PKR 6.10 per liter, while the high-speed diesel rate is expected to drop by 97 paisas per liter.
Kerosene could see a decrease of PKR 2.75 per liter, and light diesel oil PKR 1.64 per liter.
Sources say the initial calculations have been prepared in light of declining global oil prices.
The Oil and Gas Regulatory Authority (OGRA) is expected to send its pricing summary to the Petroleum Division on Tuesday.
Following review by the Petroleum Division and the Ministry of Finance, the final pricing proposal will be sent to Prime Minister Shehbaz Sharif for approval. The new prices will take effect on October 16.
Fuel prices in Pakistan are influenced not only by global crude prices but also by the government’s tax structure, particularly the Petroleum Development Levy (PDL).
The PDL is a fixed amount per liter levied on petroleum products and is a key source of non-tax revenue for the federal government.
As part of commitments made under the International Monetary Fund (IMF) program, Pakistan has gradually increased the levy on petrol and diesel in recent months.
The government can impose a maximum PDL of PKR 90 per liter on petrol and diesel under the Finance Act 2025. At present, the PDL on diesel is around PKR 77 per liter and that on petrol PKR 78 per liter. Even when global oil prices fall, domestic price reductions may be limited if the government chooses to maintain or increase the levy to meet fiscal targets.
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