The Federal Government of Pakistan has opted to maintain the current prices of petroleum products while increasing the petroleum levy on petrol and diesel by Rs. 10 per liter, raising it from Rs. 60 to Rs. 70 per liter. This decision aligns with the conditions set by the International Monetary Fund (IMF) to secure the next tranche of its loan program.

Despite fluctuations in global oil prices, the government has decided to keep fuel prices unchanged for the next fortnight, starting March 16, 2025. The price breakdown remains as follows:

• High-Speed Diesel (HSD): Rs. 258.64 per liter

• Motor Spirit (MS-Petrol 92 RON): Rs. 255.63 per liter

• Superior Kerosene Oil (SKO): Rs. 168.12 per liter

• Light Diesel Oil (LDO): Rs. 153.34 per liter

The levy increase is part of broader economic adjustments under the IMF program, aimed at addressing tax revenue shortfalls. While this move prevents a potential reduction in fuel prices, the government is working on providing relief in electricity tariffs by collecting additional taxes from the public. This adjustment is intended to offset the financial burden on consumers through reduced power bills.

Economic analysts have noted that these measures are critical for meeting IMF requirements but may contribute to inflationary pressures. The government remains optimistic about securing financial support while ensuring fiscal discipline.