ISLAMABAD . The coalition government on Thursday jacked -up the prices of petroleum products by Rs 30 a liter again . It took petrol prices to Rs 209.86, diesel prices to Rs 204,15 per liter. Likewise, kerosene rates jumped up to Rs 181.94 per liter.
The new increase in petroleum product prices made their rates all time high in Pakistan’s history .
The coalition government had raised the prices of petroleum products by Rs 30 a liter last week.
Hence , total increase in the prices of petroleum products in just one week stood at Rs 60 a liter.
The coalition government is also going to jack up electricity rates by 7.91 a unit. The government took the decision of giving unprecedented jump in the prices of petroleum prices and power rates to fulfil conditions of the International Monetary Fund (IMF) to secure its much – needed tranche of $ 1 billion . The fund had rejected Pakistan ‘s plan to off set increase in inflation through fiscal adjustments and made it clear in Doha talks last month that it would have to demonsterate practical strategy to qualify for its $ 1 billion tranche . For it among others , rationalizing of petroleum prices as well as power rates was a fundamental demand of the fund to clear its tranche of $ 1 billion under EFF programme.
While announcing another big jump in the rates of petroleum products in a week here , Finance minister , Miftah Ismail , told a press conference that unprecedented increase in the crude oil prices in global market in May last has put more pressure on the government to adjust the rates of petroleum products in the local market . He claimed that the rationalisation of prices of petroleum prices will help stop the rupee downward slide . He said the depreciation of the rupee in the recent times cost Pakistan’s economy heavily and forced the government to go for increase in the prices of petroleum products. He expressed hope that IMF will release $ 1 billion tranche to Pakistan soon. He also claimed that China was shortly going to give financial support to Pakistan and these developments will make the rupee strong against US dollar . He said Pakistan needs to walk away from subsidy culture to avoid more pressure on its economy
Meanwhile , the National Electric Power Regulatory Authority (NEPRA) is going to notify a major upward revision of Rs 7.91 per unit in the power rates.