Fuel Prices Soar in Pakistan: Petrol Crosses PKR 450 Amid West Asia Crisis

By: The Trek News Desk

Pakistan is witnessing an unprecedented surge in fuel prices as the government has sharply increased the cost of petrol and diesel amid escalating tensions in West Asia. Petrol is now priced at PKR 458.40 per litre, while high-speed diesel (HSD) has reached PKR 520.35 per litre. The revised rates came into effect on April 3, 2026.

The announcement was made by Petroleum Minister Ali Pervaiz Malik during a joint press briefing with Finance Minister Muhammad Aurangzeb. He confirmed that petrol prices were increased by PKR 137.24 per litre, while diesel saw a steeper hike of PKR 184.49 per litre.

An official notification issued by the energy ministry later validated the new pricing structure. In addition, kerosene oil prices have also been raised by PKR 34.08 per litre, bringing the new rate to PKR 457.80 per litre.

The steep hike comes against the backdrop of a worsening global fuel shortage triggered by the closure of the Strait of Hormuz, a crucial route that facilitates nearly 20% of the world’s oil and gas shipments. The disruption is linked to the ongoing Iran-Israel conflict, which began on February 28.

Earlier, Prime Minister Shehbaz Sharif had repeatedly rejected multiple proposals to raise fuel prices, including suggestions of hikes up to PKR 95 for petrol and PKR 203 for diesel. Similar recommendations were also declined throughout March as global oil prices fluctuated.

However, shortly after the conflict began, the government implemented an initial increase of PKR 55 per litre on March 6, followed by strict economic measures announced on March 9.

To cushion the impact on citizens, Finance Minister Aurangzeb unveiled a series of subsidy initiatives. Two-wheeler users will receive a subsidy of PKR 100 per litre, capped at 20 litres per month for a duration of three months.

In the agricultural sector, small farmers will be provided a one-time financial aid of PKR 1,500 per acre. Similarly, transport operators, including intercity and goods carriers, will benefit from a PKR 100 per litre subsidy on diesel.

Trucks involved in transporting essential food items will receive direct financial support of PKR 70,000. Larger transport vehicles will be granted PKR 80,000 per month, while public transport and passenger vehicles will receive up to PKR 100,000 monthly to help stabilise fares.

Additionally, subsidies have been proposed for low-income passengers using railway services, although the timeline for implementation has not yet been specified.

Source: News Agencies