FPCCI criticises petrol price hike

KARACHI: Atif Ikram Sheikh, president of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI), criticized the government's decision to increase petroleum prices despite a $1 per barrel drop in international oil prices and relative calm in the West Asian region following the Iran-Israel conflict.

Sheikh argued that the government should have maintained stable petroleum prices, especially considering the expected stability of the rupee-dollar parity in the coming weeks due to the completion of the IMF-SBA and the upcoming long-term IMF-EFF program.

He also noted Saudi Arabia's decision to increase its foreign exchange deposit by $2 billion, bringing it to $5 billion in the State Bank of Pakistan’s foreign exchange reserves (FER), as a significant aid to Pakistan's economic challenges.

Petroleum prices were raised from April 16, with petrol increasing by Rs4.53 to Rs293.94 per liter and high-speed diesel (HSD) by Rs8.14 per liter to Rs290.38. This follows a Rs9.66 per liter increase in petrol prices from April 1, marking a 5 percent increase in just two weeks.