If we compare South Asian countries, petrol prices in US dollars are not very different. Pakistan, India, Bangladesh, and Sri Lanka all fall in a similar range per litre, depending on global oil rates, taxes, and currency value changes.
Small Price Gap, But Real Difference Is Income
Even though fuel prices seem close on paper, the real story changes when we compare them with people’s income. What matters more is how affordable fuel is for an average person, not just the per-litre price.
Pakistan Income Level Is the Lowest
Recent World Bank estimates show a clear gap in per capita income. Sri Lanka is around $4,500+, India around $2,600–$2,700, Bangladesh around $2,500–$2,600, while Pakistan is around $1,400–$1,600. This places Pakistan at the lowest level among major South Asian economies.
Why Fuel Feels More Expensive in Pakistan
Because income levels are lower, fuel takes up a bigger share of household spending in Pakistan. Even if petrol prices are close to neighbouring countries, the financial pressure on citizens is much higher.
Other Countries Have Better Cushioning
India and Bangladesh have relatively higher income levels, which helps people manage fuel costs more easily. Sri Lanka also shows better affordability capacity after its recent economic recovery.
Overall Regional Picture
The main issue is not only petrol price, but the gap between income and cost. That gap is wider in Pakistan compared to other South Asian countries.
Final Understanding
Pakistan does not always have the highest fuel price in the region, but due to lower income levels, petrol becomes significantly more expensive in terms of affordability compared to its neighbours.
