Pakistan has announced another reduction in petroleum prices, offering consumers further relief following recent volatility in fuel rates.
According to the latest notification issued by the Oil and Gas Regulatory Authority (OGRA), the price of petrol has been reduced by Rs2.20 per litre, bringing the new price to Rs327.62 per litre.
The price of high-speed diesel has been cut by Rs1.50 per litre to Rs380.86, while kerosene oil has also become cheaper by Rs1.50 per litre, with its new price set at Rs289.95.
The latest cuts come shortly after the government announced another reduction in petrol and diesel prices, making the successive adjustments particularly significant for consumers and the transport sector.
Petroleum prices in Pakistan are influenced by international oil prices, exchange-rate movements and various taxes, levies and margins included in the domestic pricing structure. A Pakistan Stock Exchange document explaining the fuel-pricing mechanism notes that the final retail price includes the ex-refinery price, petroleum and carbon levies, inland freight equalisation margin, oil marketing company margins and dealer commissions.
Fuel prices have remained highly volatile this year. A policy analysis based on OGRA data noted that diesel prices moved sharply during 2026, while the petroleum levy and other components of the retail price also changed significantly.
The latest reduction is expected to provide some relief to motorists and businesses, particularly the transport sector, although the impact on overall inflation will depend on how long the lower fuel prices remain in place.
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