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EconomyHeadline

Govt cuts petrol price by 35 paisa, hikes diesel by Rs5.71

Last updated: July 21, 2026 12:47 am
Haris Ali
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Govt cuts petrol price by 35 paisa, hikes diesel by Rs5.71
Govt cuts petrol price by 35 paisa, hikes diesel by Rs5.71
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The federal government has reshuffled fuel prices for the upcoming fortnight, providing marginal relief to petrol users while hitting the transport and logistics sector with a sharp increase in diesel costs.

Effective immediately, the price of petrol has been trimmed by Rs0.35 per litre, bringing the new rate to Rs248.38. Conversely, high-speed diesel—the primary fuel for the country’s freight and agricultural machinery—has seen a steep hike of Rs5.71, pushing it to Rs266.07 per litre.

For the average commuter, the minor reduction in petrol offers little practical change at the pump. For the trucking and transport industry, however, the diesel hike is substantial. Since diesel powers the vast majority of goods transport across Pakistan, the cost of moving food, fuel, and raw materials is expected to face upward pressure in the coming weeks.

Market analysts point to the volatility in global oil benchmarks and the exchange rate as the primary drivers behind the government’s latest price adjustments. The Ministry of Finance, which finalized the figures in consultation with the Oil and Gas Regulatory Authority (OGRA), remains focused on maintaining revenue collection targets despite the fluctuating global supply chain.

This latest adjustment follows a period of relative stability in domestic fuel markets, though the disparity in the movement of the two fuels highlights the government’s struggle to balance consumer relief with the fiscal requirements of the petroleum levy.

While the government claims these prices reflect the landed cost of imports, the impact on the retail price of essential commodities remains the primary concern for the public. With transport costs tied directly to diesel prices, any further volatility in the global market could soon translate into higher grocery bills for households already struggling with inflation.

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