There is encouraging news for customers as the global oil market hints at a substantial decrease in petroleum product prices, potentially amounting to a remarkable $7 per barrel reduction.
This positive trend is particularly obvious in the Gulf market, where simple oil prices have dipped to $92 per barrel, and on the global stage, where they currently stand at $84 per barrel.
Following suit with international rates, Pakistan is composed to witness a significant decline in petrol prices, expected to kick in from October 16. The anticipated reduction is estimated to be around Rs22 per liter, which comes as a welcome relief for consumers.
Diesel prices are also expected to undergo a notable decrease of more than Rs20 per liter, further contributing to cost savings for consumers.
When the dollar rate is factored in, the current approximate price of a barrel of oil in Pakistan stands at Rs26,220. This marks a substantial drop from the price of Rs29,898 per barrel observed on September 15.
It’s worth mentioning that the government recently took steps to ease the financial burden on consumers. On September 30, the price of petrol was reduced by Rs8, resulting in a new price of Rs323.38 per liter. High-speed diesel also witnessed a price reduction of Rs11, bringing the new price down to Rs318.18 per liter.
In addition to these favorable developments, the exchange rate of the Pakistani Rupee against the US Dollar has also experienced a reduction of more than Rs20 recently, further enhancing the prospect of reduced fuel prices. Approximately 23 days ago, there was a substantial arrival of petroleum products into the market, which, coupled with the awaiting price decreases, could offer significant financial relief to the public. However, the extent of this relief will depend on whether the government imposes any additional taxes in the near future.
