ISLAMABAD: Prime Minister Shehbaz Sharif announced a major cut in petrol prices, bringing the rate down to Rs378 per litre after reducing the petroleum levy by Rs80. The move came a day after a record hike sparked nationwide backlash, with the government citing global oil volatility amid the Iran Israel US conflict 2026.
Officials said petrol had earlier crossed Rs458 per litre while diesel surged past Rs520 due to supply disruptions and rising import costs. The government maintained it had already spent billions to sustain fuel supplies and prevent shortages, but rising international prices made relief measures necessary to ease public pressure.
Finance Minister Muhammad Aurangzeb said targeted subsidies for motorcyclists, farmers and transporters would continue to stabilise costs. Meanwhile, austerity steps including cabinet salary cuts and provincial relief measures such as free public transport aim to reduce inflationary impact and support vulnerable groups.
