A sharp decline in global oil prices has raised expectations of significant relief for consumers in Pakistan, with petroleum product prices likely to be reduced in the coming pricing review.
The drop in international crude oil prices follows positive developments surrounding the Iran-US ceasefire and diplomatic engagement efforts, which have eased concerns over supply disruptions and contributed to a downward trend in global energy markets.
According to sources in the Petroleum Division, no formal calculation regarding the potential reduction has been finalised so far. However, Prime Minister Shehbaz Sharif is keen to ensure that the benefits of lower international oil prices are passed directly on to consumers.
Consultations on the proposed reduction in petroleum prices are currently under way. Officials said a detailed working paper would be prepared once a final decision is taken, after which a formal announcement would be made following the prime minister’s approval.
Government sources said any adjustment in fuel prices would be made in accordance with the pricing formula currently in place.
Meanwhile, international oil markets have witnessed a notable decline, with crude oil prices falling by more than seven per cent. US crude was trading at around $79 per barrel, while Brent crude prices dropped to nearly $81 per barrel.
Analysts say the sustained decline in global oil prices could provide the government with room to offer substantial relief to consumers, subject to market trends and fiscal considerations.
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