PM urged to reduce petroleum levy by Rs60 per litre

The Pakistan Business Forum (PBF) has called on Prime Minister Shehbaz Sharif to immediately lower the petroleum levy by Rs60 per litre. The business forum expressed concern over the unaffordability of petroleum products for both consumers and businesses, citing the rising inflation and sluggish economic activity. PBF Chief Organiser Ahmad Jawad stated that consumers are currently paying Rs106.15 per litre in taxes on petrol, describing the levy as an excessive burden in the current economic situation.

He argued that the government must also bear some of the financial burden. Over the past eight months, diesel prices have increased by Rs135 per litre while petrol prices have risen by Rs114 per litre. The PBF emphasized that consumers and businesses are already grappling with high electricity costs and load-shedding, and urged the government to focus on providing relief rather than imposing additional costs.

Despite the petroleum levy revenue increasing by 29% in the last fiscal year, the PBF believes the economy is not showing the corresponding improvement. The forum proposes a comprehensive review of the government’s economic policies. The PBF also voiced concerns over the government’s decision to abolish the wheat support price, highlighting the negative impact on farmers and the potential need for wheat imports.

They urged the government to announce the wheat support price before November to provide clarity to farmers and encourage production, reducing reliance on imports.