In a welcomed move, the interim government of Pakistan is poised to implement a substantial reduction in petrol and diesel prices, potentially by up to Rs.20 per litre for the initial fortnight of December 2023. This much-anticipated adjustment is a response to the global downturn in oil prices, aiming to alleviate the burden of inflation on the public amid modest income growth.
The international oil market has witnessed a notable decline, with prices dipping below $75 a barrel in mid-November. This downturn is attributed to concerns over sluggish global economic growth, particularly in China. As of late November 2023, WTI crude was trading at $76.5 a barrel, marking a roughly 7% decrease since October 29. Similarly, Brent crude recorded a 5.4% decline during the same period, reaching $86.35 a barrel on November 29.
The final verdict on fuel prices in Pakistan is slated to be announced by the federal government on November 30. If the expected reduction of up to Rs.20 per litre materializes, it could bring the price down to approximately Rs.260, offering significant relief in the ongoing battle against inflation.
This move reflects the government’s commitment to address economic challenges and enhance public welfare. Stay tuned for the official announcement on November 30, as Pakistan navigates economic strategies to ensure a more sustainable and affordable energy landscape. 🇵🇰⛽
