Fuel prices in Pakistan are projected to fall by up to Rs. 18 per liter on October 31, with preliminary estimates indicating that per liter rates for High-Speed Diesel will fall by Rs. 5-6 and MS Petrol will fall by Rs. 17-18.
Petrol and HSD Prices May Fall Further
If worldwide prices and the resurgent Pakistani Rupee remain in the green for the next several days, local fuel and diesel prices may fall to Rs. 297-298 and Rs. 265-266, respectively, in the next fortnightly prices effective October 31, 2023.
The interim government decreased the price of petrol by Rs. 40 per liter and the price of high-speed diesel by Rs. 15 during the last fortnightly review of petroleum pricing.
Strengthening of Pakistani Rupee Against US Dollar
The Pakistani Rupee’s 28-day winning run against the US dollar, as well as international HSD and MS rates falling by $1.3-3.5 per barrel last week, are the key reasons for the predicted drop.
If accurate, this would be the third straight fall in fuel prices following three consecutive increases.
To recall, petrol and high-speed diesel prices jumped by Rs. 58.43 and Rs. 55.83 per liter, respectively, between August 15 and September 15, reaching a historic Rs. 331-333 per liter at retail until September 30.
Previous Decrease
Later, on the 1st and 15th of October, due to the PKR’s tremendous rebound from below 300 to above 278, fuel and diesel costs were reduced by Rs. 52 and Rs. 26 per liter, respectively.
Notably, the PKR has depreciated by 1% to 280.5/$, compared to the previous fortnightly average of 277/$, while WTI, Brent, and Arablight prices have fallen by 4.3, 3.2, and 4.2 percent, respectively, compared to last week.
The calculation is based on the first 12 days of the current fortnight’s actual costs and estimations for the rest.
To read our blog on “Petrol massively drops by Rs. 40 by the Govt. till 31st Oct,” click here.
