By Web Desk 
The government has announced a major reduction in petroleum prices, offering relief to consumers amidst growing economic concerns. According to ARY News, petrol prices have been slashed by Rs 10 per litre, with diesel prices reduced by Rs 13.6 per litre.
In addition to the reductions in petrol and diesel, the price of light diesel has been lowered by Rs 12 per litre, while kerosene prices have dropped by Rs 11 to Rs 15 per litre.
These adjustments come after Prime Minister Shehbaz Sharif approved the revised rates. The changes are expected to provide a much-needed financial reprieve for citizens facing high inflation and rising costs of living.
The decrease in domestic fuel prices follows a notable drop in global oil prices, which have fallen by 8.5% since August 30, 2024, from USD 79.39 per barrel to USD 72.67 per barrel. The dip in international prices is largely due to OPEC’s revision of its global oil demand forecast, leading to a drop in demand and subsequently, prices.
According to Tahir Abbas, Head of Research at AHL, the lowered global oil demand forecast has provided Pakistan with an opportunity to adjust its local fuel prices, which are reviewed every two weeks. Pakistan, as a country heavily dependent on oil imports, benefits directly from this international price drop.
In the last three price adjustments, consumers have already seen petrol prices decrease by PKR 16.50 per litre and diesel prices by PKR 20.88 per litre. The latest reductions will mark the fourth consecutive decline in fuel prices, with petrol expected to fall by PKR 13.12 per litre and diesel by PKR 14.39 per litre.
These price cuts come as welcome news for commuters and businesses that rely on fuel for daily operations. Lower fuel prices may also help alleviate inflationary pressures in the broader economy, offering some financial relief to consumers and contributing to a more stable economic environment.