Govt slashes petrol price by Rs5.66 per litre

The federal government on Wednesday night slashed the price of petrol by Rs5.66 per litre for the next fortnight. 

According to a notification issued by the Finance Division, petrol will now be priced at Rs263.02 per litre. The price of high-speed diesel (HSD) has also been reduced by Rs1.39 to Rs275.41 per litre.

Similarly, the price of kerosene oil has been cut by Rs3.26 to Rs181.71 per litre. The government has set the price of light diesel oil at Rs162.76 per litre for the next fortnight.

"The government has adjusted the prices of petroleum products for the fortnight starting tomorrow (October 16, 2025), based on the recommendation of the Oil and Gas Regulatory Authority (OGRA) and the relevant ministries," read the notification.

Petrol is mainly used in private transportation, small vehicles, rickshaws, and two-wheelers. Higher fuel prices significantly impact the budgets of the members of the middle and lower-middle classes, who primarily consume petrol for commuting.

On the other hand, a significant portion of the transport sector relies on high-speed diesel.

Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers. The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.