Oil Tops $90 Again, More Fuel Price Hikes in Pakistan Won’t Be Surprising
International oil prices have climbed back above $90 per barrel, giving the government the perfect excuse to notify another increase … Read More The post Oil Tops $90 Again, More Fuel Price Hikes in Pakistan Won’t Be Surprising appeared first on ProPakistani .
Oil prices have surged past the $90 per barrel mark, prompting Pakistan's government to anticipate another hike in petrol and diesel costs in the country. Brent crude settled at $90.87 per barrel on August 17, marking a $2 increase following renewed worries about dwindling oil supplies and escalating tensions between the US and Iran in the Strait of Hormuz.
The latest price surge followed US President Donald Trump's threat of military action against Oman if it hindered US activities in the region. Oman plays a role in negotiations related to Iran and the Hormuz Strait. This new international oil shock may lead to further increases in Pakistan's fuel prices, which are directly linked to global petroleum prices under the country's pricing system.
The government has already significantly raised petrol and high-speed diesel prices. On August 17, petrol saw a Rs. 5.77 per litre increase to Rs. 331.20, while diesel rose by Rs. 6.47 to Rs. 390.42 per litre. Given that international crude prices are now above the $90 threshold, consumers may face another price hike if global prices stay high and the latest trend is incorporated into the domestic fuel price calculation.
However, the ultimate effect on petrol and diesel prices will hinge on the relevant international product prices, the exchange rate, and other factors within Pakistan's daily fuel price mechanism.
Written by urgent.news from ProPakistani's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
